England's tax centralisation problem: A case for fiscal devolution
Summary
This article discusses England's extreme tax centralisation problem, where the central government raises over 90% of revenues compared to the OECD average of 53.2%. It highlights the growing mismatch between the responsibilities being devolved to strategic authorities (transport, skills, housing, regeneration, local growth) and their continued heavy financial dependence on central government. The piece argues for fiscal devolution as a necessary reform.
Source
Twitter / XEngland's tax centralisation problem: A case for fiscal devolutionre-state.co.ukKey quotes
· 3 pulledEngland has long been outlier when it comes to tax centralisation.
Central government in the UK raises over 90 per cent of overall revenues compared to an average of 53.2 per cent across OECD countries.
Strategic authorities are being asked to take on growing responsibilities for transport, skills, housing, regeneration and local growth, while remaining heavily dependent on central government funding.
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