Manchester leads English devolution push

ENGLISH city leaders are using the issue of Scottish independence to push for more powers today.

At the Core Cities Summit in London, hosted by commercial agent GVA, leaders will call for the type of devolved powers already enjoyed by Scotland.

The Government has already indicated it is willing to hand new powers to metropolitan areas that embrace a London-style mayor.

Sir Richard Leese, chair of the Core Cities Cabinet and leader of Manchester City Council, said: “With the prospect of devolution looming for Scotland and Wales irrespective of the outcome of the Scottish referendum, decentralisation within England is now one of the biggest single economic issues facing Government.”

Research conducted by GVA shows that the eight English “core cities” and their regions account for 27% of the English economic output. It said the UK has the most centralised state among the OECD (Organisation of Economic Co-operation and Development) nations.

According to GVA figures, in 2011 only 2.5% of the UK taxation was set at the local level, against 5.8% in France, 10.9% in Germany and 15.9% in Sweden. Tax levels in the UK’s regional cities are at circa 5%, compared to 50% in New York, 70% in Tokyo and 25% on average across the OECD countries.

Sir Richard Leese added: “More autonomy for cities is increasingly accepted. The Chancellor’s speech in my own city of Manchester called for more devolution and HS3; the Leader of the Opposition’s welcome of the decentralising Adonis Growth Review; the Deputy PM’s commitment to further faster devolution; and the RSA City Growth Commission, chaired by leading global economist Jim O’Neil, all point firmly in the same direction – set cities free and they will deliver more for business and for the economy.”

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