By Rosie Niven | 20 August 2014
Councils should be allowed to retain more receipts from locally raised taxes and to introduce new levies, the London borough of Camden has told the independent commission into council finance.
The local authority’s draft response to the Independent Commission on Local Government Finance's call for written evidence, argued that councils should have more control over some local taxes.
One freedom that Camden has requested is the ability to retain more receipts raised locally through right to buy and to have more freedom to apply these in line with council’s strategic aims.
Allowing the introduction of a levy of £1 per night paid by hotel guests in the borough would be another way to raise income, Camden suggested. In its response to the commission, which was launched by CIPFA and the Local Government Association in June, it noted that many cities around the world already exercise their freedom to set a tourist tax.
‘The income generated could be used to invest in public realm improvement, cultural assets and the hospitality sector to further boost the industry as well as alleviate some of the financial pressures caused by a large tourist industry,’ the council said.
Camden also calls for funding for skills to be devolved from the Job Centre Plus and for councils to have more control over Department of Health expenditure linked to delivering social care.
Lifting of the Housing Revenue Account borrowing restrictions and allowing councils to retain more business rate growth was also requested.
