º£½ÇÊÓÆµ

Oops.

Our website is temporarily unavailable in your location.

We are working hard to get it back online.

PRIVACY
Economic Development

Call for Birmingham to set its own income tax rates

Ten of Britain's biggest cities are demanding control over policing, transport, housing and skills as they publish a "modern Magna Carta" for local government

Sir Albert Bore

Birmingham and its neighbours could set their own rate of income tax under ambitious devolution plans published by big city council leaders.

Leaders of Britain’s ten “core cities” have demanded the right to take control of bus services and train stations, policing and support for local employers, in a document they call a modern Magna Carta.

The plans were published at a summit in Glasgow attended by leader Sir Albert Bore.

They call on central government to allow councils to keep many of the taxes raised locally to spend locally, including property taxes and a share of income tax.

And they call for a debate on letting councils set their own tax rates, stating: “We also need a mature national debate on how we can fully devolve some taxes into local control over the longer term, in consultation with business and local communities”

A second report also published by the Core Cities sets out a timetable for allowing councils set their own income tax and corporation tax rates, with a pilot scheme introduced in once region in 2016 and the powers extended to all city regions by 2020.

The report states: “If we are serious about addressing regional inequalities, then this measure, in a city of low business start-ups, might genuinely help to turn things around and is worth exploring and piloting.”

The Government recently announced plans for to allow English MPs to set an English income tax rate, while the Scottish Parliament is to have the power to set the rate in Scotland.