Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what taxation powers his Department is considering devolving to local authorities.
The government’s vision for devolution in England was set out in the joint cabinet statement, ‘Rewiring the state’ published in July. This committed to replacing grants from central government with a share of local income tax for every mayor beginning in 2028 and greater retention of the revenue from business rates for local councils and strategic authorities. Strategic authorities will also have the power to introduce an overnight visitor levy as a way to raise money to support growth in their regions, including the visitor economy. The long-term certainty of funding via taxation will provide more flexibility and enable greater investment to fund interventions that will deliver a return.