Burnham to Free Mayors from ‘Treasury Death Grip’ with New Devolved Powers

The news that Prime Minister Andy Burnham plans to devolve significant powers to regional mayors has sent shockwaves through Whitehall, but it’s a move that’s long overdue. For too long, local leaders have been beholden to the whims of central government, forced to manage their finances within the constraints of grants and handouts.

The implications of this move are profound. Mayors will gain access to a share of income tax generated in their area, as well as business rates totaling tens of millions of pounds by April 2027. This shift represents a fundamental change in how England is funded and governed. By giving local leaders more control over their finances, Burnham acknowledges that regional needs are best met at the local level, rather than being dictated from the centre.

For communities like those in Humberside and north-east England, who have long been neglected by central government, this could be a lifeline. Mayors will now be able to borrow against future income, finally having the resources to tackle issues such as transport infrastructure and housing shortages. This is not just about providing funds; it’s also about giving local leaders the flexibility to respond to regional challenges.

Critics have raised valid concerns about how much of the income tax will be retained by mayors and whether this will create a “two-tier England,” where areas with mayoral authorities receive preferential treatment while those without are left behind. There is also the risk that devolving power too quickly could lead to a lack of accountability and oversight.

However, these concerns should not overshadow the significance of Burnham’s move. By recognizing that local leaders know their communities best, he acknowledges that true power lies at the regional level, rather than in Whitehall. If implemented correctly, this shift could be a game-changer for England, creating a more decentralized and accountable system of governance.

This devolution effort is often compared to Labour’s efforts under Tony Blair and Gordon Brown, which saw significant powers handed over to Scotland and Wales. However, there are key differences this time around: regional mayors in England will have far greater autonomy than their Scottish or Welsh counterparts.

As the experiment unfolds, it’s essential to keep a critical eye on its progress. Will mayors use these new powers wisely? Will they prioritize long-term projects over short-term gains? And what about areas without mayoral authorities – will they be left behind in the rush to devolve power?

Only time will tell, but one thing is certain: Burnham’s move has opened up a new chapter in England’s devolution story. As we look ahead, it’s crucial that we support this effort with an open mind and a critical eye – for the sake of local leaders, local communities, and the future of our country.

The road ahead will be challenging, but one thing is clear: Burnham has set the wheels in motion for a more decentralized England. Now it’s up to us to ensure that this move benefits all those living on English soil, not just a select few.