Lincolnshire Mayor 'considering tax rebate' with new powers
Lincolnshire mayor Andrea Jenkyns is considering using new powers to hand taxpayers a rebate, according to media reports.
Prime Minister Andy Burnham has announced that regional mayors will get to keep a share of income tax and business rates which usually go to Whitehall.
He says it could be used to “improve public transport, build homes and create jobs” by keeping the cash in the same postcode.
However some Reform and Conservative mayors are understood to be exploring whether the tax could be put back in residents’ pockets, The Times has reported.
Among them are Lincolnshire’s Andrea Jenkyns, Hull and East Yorkshire’s Luke Campbell, and Tees Valley’s Ben Houchen.
Dame Jenkyns hasn’t responded to requests for comment from the Local Democracy Reporting Service at this time.
Ministers have also poured cold water on the idea of mayoral tax rebates, with First Secretary of State Louise Haigh saying a scheme would need to be run by HMRC.
The details of exactly how much will stay in regions will be announced in the Autumn budget.
The government has promised that the bills which taxpayers face won’t change as a result of the reforms.
Mayors will also receive a fast-track route to building infrastructure projects like roads, light rail and trams, it has been announced.
The threshold at which mayors will need to seek approval will be raised from £200million to £500million, meaning they can bypass the government.
They are also expected to receive greater control over housing, transport and skills.
Prime Minister Andy Burnham said: “I said we’d take power out of Westminster and carry it into every postcode in the country. Today, we make good on that promise.
“Under our plans, more of the taxes raised in a community will stay in that community. Soon, every local leader will have the power and resources to improve public transport, build homes and create jobs.
“I know what it’s like to be ignored by politicians in Westminster. I’m not going to make that same mistake now I’m PM.
“The whole of government will now pull together behind the people and places that desperately need our support. This is how we’ll bring back hope and bring power home to you.”