New tax to help pay for mayoral office

£7.5m is to added to council tax bills across the West Midlands to pay for Mayor Andy Street and his activities.

Street said the money “will be vital in ensuring we can continue our region’s economic recovery”.

The West Midlands Combined Authority – which the elected mayor is the chair of – has revealed its draft budget for the next financial year.

Its £178.4m budget includes £118m from its seven local authorities that are its constituent member authorities and £36.5m from central government.

The £7.5m precept will add around £12 a year to Band D properties’ council tax bills. Around £1.25m will be spent on the operational running costs of the mayoral office, with the remainder being spent on “congestion-busting measures” focused on cycling, park and ride services and Sprint rapid-transit using road-running tram-style vehicles.

Street, who became the first elected mayor of the West Midlands last May, said: “In the seven months the role of Mayor has existed, the value of the office has already become quite clear, particularly in ensuring our region punches above its weight with Government.

“The region is making exceptional progress and we must ensure this continues and help with our work to tackle homelessness and other important areas of work.”

The proposed budget will go before the WMCA budget scrutiny task group, which will report back to the board on February 9.

The WMCA, which was established in 2016, has secured two devolution deals that will see the wider region get £1.4bn of government funding over the next 30 years.

Its operational highlights include its transport plan, led by the extension of the tram network, the launch of a £200m brownfield remediation fund, the creation of a £400m development blueprint for homes in Birmingham and Smethwick, and a £100m investment in the south of Coventry city centre.

Cllr Izzi Seccombe, WMCA lead member for finance and investment, added: “The WMCA has achieved a lot in a very short space of time. It requires funding to keep that work going and this figure represents superb value for money.”