Burnham Plans to Transfer Income Tax Powers to Mayors Upon Becoming Prime Minister

Andy Burnham is set to become Prime Minister on Monday, with plans to initiate the transfer of income tax powers to Labour mayors during his first week in office. The Treasury is understood to be preparing proposals that would grant English mayors a share of income tax revenue generated within their regions, a policy shift aimed at incentivizing local growth.

This initiative would apply to the seven most senior mayoralties in England, including London, the West Midlands, Liverpool, the North East, South Yorkshire, West Yorkshire, and Greater Manchester. The policy is reportedly being accelerated following Burnham's election as Labour leader. He has consistently called for greater fiscal devolution, seeking powers for mayors to raise taxes through measures like tourist levies and local transport control.

Burnham, the MP for Makerfield, has been a vocal proponent of moving power away from Westminster and Whitehall. In his first speech as Labour leader, he pledged to "take power back from Westminster and Whitehall and give it to the place where you live." Approximately 75 percent of England's population resides within a mayoralty, highlighting the potential reach of this policy.

Ahead of his formal appointment, Burnham has been receiving national security briefings and discussing his priorities with officials. He is expected to use his initial addresses to outline plans for addressing the cost of living and to emphasize his core theme of devolving power. Sources indicate that the operational hub for this devolution effort will be Burnham's "No 10 North" in Manchester, a location he anticipates visiting early in his premiership. Allies have stated that Burnham intends to introduce policies designed to improve citizens' lives and deliver tangible changes swiftly.

Burnham confirmed that he is finalizing his cabinet appointments and will announce his ministerial team on Monday. Speculation has been rife regarding key positions, particularly that of Chancellor, with suggestions of potential contenders like Ed Miliband or Shabana Mahmood.