Government devolves tax revenue and borrowing powers to regional mayors

The UK government has announced plans to give regional mayors more control over money in their areas. From 2028, mayors will be able to keep part of the income tax collected locally. Business rates worth tens of millions of pounds will also move to mayoral control by April 2027. This new funding will replace existing grants from central government, not add to them. Mayors will also be able to borrow money to pay for large local projects. The government wants ministers to explain why any power should stay central rather than move to regions. Some officials have suggested mayors could eventually oversee schools, doctors' surgeries, and childcare providers. England's regional mayors have previously depended heavily on central government for funding local services.