County Councils Network Reports Fiscal Devolution Could Unlock £4bn Annual Local Funding

A series of reports and statements from the County Councils Network (CCN) and related bodies highlight a strong push for fiscal devolution in England, advocating for counties and unitary councils to retain a share of locally raised taxes such as income tax, stamp duty, the apprenticeship levy, and a proposed tourism tax. This fiscal empowerment, estimated to generate over £4 billion annually, aims to enable local authorities to invest more effectively in growth, infrastructure, housing, and services without raising new taxes on residents or businesses. Deputy Prime Minister Angela Rayner has expressed support for advancing fiscal devolution alongside government commitments to decentralize decision-making. While areas like Yorkshire and Wessex are actively pursuing devolution deals and strategic collaboration to secure greater financial autonomy and infrastructure funding, the CCN report stresses the need for bold government action to redistribute tax revenue efficiently and address regional funding disparities. The proposed fiscal reforms could significantly boost local economies by incentivizing productivity and providing councils with a stable revenue stream to address local priorities, including transport, skills development, environmental protection, and maintenance. Overall, these initiatives represent a concerted effort to transition England from a highly centralized fiscal system to one where local leaders have greater control over resources to drive economic growth and improve public services.