Vauxhall

London’s next Mayor needs stamp duty devolution

10 December 2015
  • London’s population is set to rise from 8.6 million to 10 million in 2030. But how will we cope with more people living and working in London?
  • A lack of adequate transport links could hold back areas in London, which could be developed to accommodate more people.
  • Transport for London’s (TfL) £360m Growth Fund has been used to fund transport improvement projects, like Elephant & Castle’s Northern Line ticket hall, the Barking Riverside Overground extension and Croydon’s Fiveways junction, to help unlock areas of regeneration.
  • However as transport investment makes areas more attractive, property developers are often the biggest beneficiaries, as they can make large gains when selling on property.

The London Assembly Regeneration Committee report ‘Transport-led regeneration: Has TfL’s Growth Fund risen to the challenge?’ makes a number of recommendations:

  • TfL should renew the Growth Fund for another ten years to 2026/27. The Fund should involve an open and transparent bidding process, with clear selection criteria established by TfL.
  • The next Mayor should produce a proposal for the devolution of stamp duty in London, to capture growth in land values and re-invest the proceeds into further transport improvement projects.
  • TfL should consult local people in a consistent way, when proposing new or improved transport projects in regeneration areas.

Gareth Bacon AM, Chairman of the Regeneration Committee, said:

“London is growing rapidly and it’s essential we have the right transport links to accommodate this growth. There are signs that TfL’s Growth Fund has brought forward stalled transport projects and there is a real need for this type of investment to unlock future areas of development in London.

That’s why we are calling for this fund to be renewed by the next Mayor of London. It’s essential for the success of this city.

However, in the long term, London desperately needs a sustainable funding source to thrive and prosper. Devolution of stamp duty is absolutely vital.”

Notes to editors

  1. ‘Transport-led regeneration: Has TfL’s Growth Fund risen to the challenge?’ report (attached).
  2. Gareth Bacon AM, Chairman of the Regeneration Committee is available for interview. See contact details below.
  3. The Regeneration Committee.
  4. As well as investigating issues that matter to Londoners, the London Assembly acts as a check and a balance on the Mayor.

 

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