Sharing income tax revenues with England’s mayors: the issues and options

How England’s regional mayors are funded is about to change. Currently mayoral strategic authorities (MSAs) rely largely on government grants to fund their spending and investment. The government has confirmed that from April 2028, the MSAs will receive a share of the income tax raised in their areas in lieu of part of this grant funding.

In this online event, part of this year's IFS Green Budget with funding from CIPFA and the Nuffield Foundation and in association with Barclays, IFS researchers will explain:

• The responsibilities and current funding arrangements for England’s MSAs;
• The potential rationales for and risks of the government’s tax revenue assignment plan;
• The decisions required and options available for how revenue assignment will work and funding continue to be redistributed across the country;
• The importance of these decisions – including the potential effects on funding divergence and volatility.

Following this, Iain Murray (Director of Public Financial Management, CIPFA) will highlight the challenges, opportunities and requirements for success from the perspective of those tasked with managing MSAs and local authorities’ finances – in turn ensuring effective service delivery and growth-enhancing investment.