Steve McCabe – 2016 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Steve McCabe on 2016-10-07.

To ask Mr Chancellor of the Exchequer, pursuant to the Answer of 12 September 2016 to Question 44480, through what mechanisms devolution deals will reduce regional variations in tax generation.

Mr David Gauke

The government has devolved significant powers and funding from central government to city regions through devolution deals, including powers over transport, skills and planning. Devolution is about bringing together key levers at the right functional economic geography to drive economic growth. This will empower local leaders to invest money where it is most needed, to create high-quality jobs and boost local economic growth.

The government has also announced that it will pilot the move to 100% business rate retention with Greater Manchester and the Liverpool City Region, and that this offer is open to other mayoral combined authorities, ensuring local areas and communities see the benefits of supporting businesses and jobs through increased local tax receipts.