(Image: Supplied)
David Skaith has said prime minister Andy Burnham allowing regional mayors to keep a share of the taxes collected in their area will be “the biggest shift of powers” out of London “that we’ve ever seen before”.
The York and North Yorkshire mayor welcome the prime minister’s announcement on Friday (July 31), saying it will allow mayors to help tackle key issues, such as transport and housing, in their communities.
Mr Burnham said by letting mayors keep a slice of income tax and business rates, he will “make good” on his pledge to “take power out of Westminster and carry it into every postcode in the country”.
Details of the reforms are expected to be announced in a white paper, published when chancellor John Healey presents his first budget in the autumn.
Prime minister Andy Burnham
(Image: Kirsty Wigglesworth/PA Wire)
But Mr Burnham, who was mayor of Greater Manchester for about nine years, said the policy would be designed so that “every local leader will have the power and resources to improve public transport, build homes and create jobs”.
The rate of income tax which billpayers face will not change as a direct result of the reforms, according to the government.
Ministers will retain an equalisation system, so areas where less tax is collected continue to receive financial support.
Mr Skaith said: “This will be the biggest shift of powers, responsibilities and resources from Westminster to local leaders that we’ve ever seen before.
“The voices of people, communities, and businesses across our county will be heard more clearly than ever before as we decide how record levels of devolved funding are spent to tackle ingrained issues that have been holding York and North Yorkshire back for too long.
“This shift in power will help us to make sure we can tackle the issues that hold us back the most, like poor transport, digital connectivity, the right houses in the right places, access to well paid, meaningful, jobs, and better opportunities to learn.”
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Mr Burnham said: “I said we’d take power out of Westminster and carry it into every postcode in the country.
“Today, we make good on that promise.
“Under our plans, more of the taxes raised in a community will stay in that community.
“Soon, every local leader will have the power and resources to improve public transport, build homes and create jobs.
“I know what it’s like to be ignored by politicians in Westminster.
“I’m not going to make that same mistake now I’m PM.
“The whole of government will now pull together behind the people and places that desperately need our support.
“This is how we’ll bring back hope and bring power home to you.”
Housing, Communities and Local Government secretary Angela Rayner said the announcement would put “an end to the begging-bowl culture of the past”, instead giving locally elected leaders “the tools they need to drive the change that communities have been crying out for”.