Business rates and fiscal devolution: the beginning but not the end…

By Sarah Whitney

The MJ is running an interesting survey this week  reporting local government’s view of the planned 100% retention of business rates. Almost 90% of chief executives and finance officers surveyed considered that giving local government control of the business rate still didn’t go far enough in terms of fiscal devolution.

Here’s why…

First some history. Prior to 1 April 2013, business rates were collected by local authorities and then remitted to the Exchequer. The Exchequer then redistributed the rates back to local authorities, on a needs-basis, through the Formula Grant System. In that context, variations in business rates, which total approximately £23 billion per annum, were dwarfed by the £548 billion of other tax receipts central government receives. 

Cities must scale up their ambitions for devolution to work

By Mike Emmerich

“The average civil servant thinks that cities only ever ask for one of three things in devolution deals: things they can already do, things that don’t make any difference, and things they bloody well can’t have.”

That’s an opening line I often use when speaking on devolution. There is more than a hint of truth in this observation borne from my years of experience with devolution-free devolution deals. Even Greater Manchester, now a poster-child for the government’s devolution agenda, was until recently a serial devolution failure. Despite endless negotiations of local public service agreements, local area agreements and a host of other agreements, there was no devolution.

We have no builders: Skills shortages threaten Government’s house building targets

By Peter Skalski

Last September the government announced an ambitious target to get a million new homes built by the end of the parliament. Unfortunately, grand pledges on housebuilding from politicians have to be taken with a pinch of salt. Governments of both sides have consistently failed to ensure that the country builds the sufficient number of homes it needs. Many commentators are sceptical that this million homes target can be realised, particularly as the Government’s Housing Bill is aimed at enabling home ownership rather than increasing the supply of homes. 

Metro Dynamics commissioned to produce Renfrewshire Economic Strategy

Renfrewshire Council have commissioned Metro Dynamics to develop an evidence based economic strategy for the area. Metro Dynamics will be working with the Council to review the current state of the economy and make specific recommendations as to how the Council can work with partners to build a stronger and more resilient economy, and improve opportunities for residents.

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