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Expanding English Mayoral Powers Prompt Calls for Tougher Oversight

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Expanding Mayoral Powers and the Call for Oversight

From 2028 English mayors will be able to retain a share of locally generated income tax, and from 2027 they will keep business rates. The proposal also includes a “tourist tax” and the ability to borrow for large infrastructure projects. IPPR North estimates that allowing a 5 % share of income tax could move roughly £3.8 billion a year out of Whitehall, potentially doubling the funding under mayoral control. The think-tank warns that “a bad decision or mismanaged funding from any one authority risks turning public opinion against devolution and undoing progress.” “A bad decision or mismanaged funding from any one authority risks turning public opinion against devolution and undoing progress.” — IPPR North

Context of Devolution under Prime Minister Andy Burnham

Andy Burnham, former Greater Manchester mayor, has placed fiscal devolution at the centre of his government, creating “No 10 North” in Manchester as the engine room for rapid regional transfer of authority. A Cabinet Office paper released in July outlined the most dramatic shift of power to English regions in modern times. While larger authorities such as London, Greater Manchester and the West Midlands have established structures, newer combined authorities—including those in Hull, East Yorkshire and Greater Lincolnshire—were only founded last year, raising questions about capacity to manage the expanded remit.

Official Statements & Responses

Aditi Sriram, lead author of the IPPR North report, described the moment as “defining” for British governance and stressed that accountability is essential for the devolution agenda to succeed.

Verbatim Quotes

  • “A bad decision or mismanaged funding from any one authority risks turning public opinion against devolution and undoing progress.” — IPPR North

What’s Next

Ministers are due to set out a timeline for fiscal devolution in a white paper that will be published alongside the autumn budget on 28 October. The paper is expected to detail the rollout of the new powers and the proposed regional audit offices that would oversee spending.