Angela Rayner is reportedly playing a key role in supporting de-facto Labour leader Andy Burnham's initiative to transfer significant political power from Westminster to regional mayors. The former deputy prime minister is said to be collaborating with Burnham on proposals to grant mayors greater tax-raising authority, a move that has generated concern among business representatives.
Burnham, outlining his vision for "good growth in every postcode," has described the plan as the most substantial devolution of power from the central government in modern history. Rayner, in her previous government role, was instrumental in the passage of the English Devolution and Community Empowerment Bill, which became law in April. This legislation grants regional mayors the power to formulate local economic strategies, oversee planning decisions to direct growth, and establish mayoral development corporations to streamline projects and attract investment. Mayors will also have the authority to implement 'development orders' to expedite construction.
Rayner is scheduled to deliver a speech addressing the rebalancing of local economies. Following Labour's performance in recent local elections, she advocated for a "devolution revolution," emphasizing that devolving planning and licensing powers to mayors could stimulate local businesses and foster economic growth, benefiting local communities. She also stressed the importance of economic powers and public services accompanying these changes, alongside community ownership and the prevention of local asset sales.
However, concerns have been raised within the Labour party that Burnham's agenda could alienate voters in rural and less affluent southern constituencies. During a recent meeting of the Parliamentary Labour Party, some MPs expressed fears that the focus on devolution could create a north-south divide and overlook the needs of rural communities, which they argued share more commonalities with southern rural areas than with northern cities. One MP specifically called for an understanding of poverty in the southeast, suggesting it can be as significant as in traditional northern industrial areas.