The next government must fully implement devolution before 2030 in order to complete a “job half done” a new report has urged.
Research by the Institute for Government found that 85 per cent of England must be covered by a devolution deal in order to tackle the economic underperformance of areas outside London. The 12 metro mayors in place following this month’s local elections represent nearly half of the country’s population and over half of its economic output.
This would be in preparation for single settlement deals which involve flexible departmental-style budgets agreed in the first two years of the next parliament. Despite both Labour and the Conservative’s reluctance to introduce “fiscal devolution” by giving mayors powers over taxation, the IfG also called for a trial of devolving a share of national insurance to strengthen incentives for local leaders to boost job creation.
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