England’s mayoral strategic authorities are due to begin receiving business-rate revenue in 2027, with income-tax assignment scheduled for 2028 under a new funding roadmap from HM Treasury, the U.K. finance ministry.
HM Treasury published the Fiscal Devolution Roadmap on Oct. 28. It applies to England and outlines changes to the funding framework for regional strategic authorities and local councils.
Under the plan, mayoral strategic authorities (MSAs) would receive some business-rate revenue from 2027. The government also intends for local authorities and MSAs together to retain more of that revenue. The GOV.UK summary does not give a target amount or percentage.
The roadmap schedules income-tax assignment for MSAs from 2028 but does not detail the amount to be assigned or how the system would work. It also names the Overnight Visitor Levy and Good Growth Funds among wider fiscal measures for local areas.
HM Treasury says the funding framework will include new local accountability arrangements. The government also plans continued work with MSAs to help keep their finances sustainable. It describes the broader effort as moving decision-making, public resources and oversight nearer to the people and places affected.
Before the roadmap’s release, a July Cabinet statement had said mayors were expected to receive local income-tax revenue from 2028 and retain more business-rate revenue. The statement also referred to regional fairness and the distribution of public investment, as noted in EconoTimes’ earlier coverage of the planned roadmap.
Business-rate sharing is scheduled to begin in 2027, ahead of income-tax assignment in 2028.