Andy Burnham is considering devolving aspects of income tax across Britain to give local authorities greater power, according to Lord O'Neill of Gatley, who is tipped to become his chief economic adviser. Lord O'Neill said constitutional devolution is a key theme for the presumptive future prime minister and that business rates devolution is a very strong probability, while exploring income tax devolution would be on the agenda for serious study. He also warned that a spectacular rise in public spending cannot continue without market punishment, noting that 10-year gilt yields are above Greek equivalents, and called for root-and-branch welfare reform to cut debt and grow the economy. British bosses are expected to warn Burnham that taxing businesses more would be a road to ruin, and Berkeley Group chief executive Rob Perrins cautioned against a fresh tax raid on homeowners, urging pro-growth policies like capping stamp duty on new-build homes instead.
The Berkeley Group Holdings plcBerkeley Group CEO warns against a fresh tax raid on homeowners, implying potential negative impact from tax policy changes.