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Your weekly London local government update

11 Feb 26

Keep the levy local

With the government currently consulting on proposals ( [link removed] ) which would allow Mayoral Strategic Authorities in England to introduce local overnight visitor levies, devolving new fiscal powers to London and other regions, London Councils is calling for the government to ensure that boroughs are able to retain at least 50% of funds raised in their area in order to fund local services that support tourism and invest in measures to support growth in the capital.

The introduction of an overnight visitor levy is something London Councils has long been calling for ( [link removed] ).

Chair of London Councils, Cllr Claire Holland OBE ( [link removed] ), said: “It is vital that London boroughs retain a fair portion of funds raised by an overnight visitor levy to ensure we are adequately equipped to invest in local services which both support the tourist economy and mitigate the impact of tourism in our local areas.

“Boroughs shoulder many of the day-to-day costs associated with tourism – from maintaining streets and transport hubs, to supporting cultural venues and managing community safety pressures – helping to keep London attractive, clean, and safe.

“By allowing boroughs to retain 50% of the revenues raised in their area to reinvest directly in the local services and public spaces that visitors depend on, we will be able to support the growth of tourism in our city and provide confidence to businesses that this will benefit them.

“We look forward to working with the government and the Mayor on the design and implementation of the levy to ensure this is a success for Londoners and our tourist industry.”

Westminster Hall debate

Dulwich and West Norwood MP Helen Hayes yesterday hosted a Westminster Hall debate ( [link removed] ) on the subject of: Funding for local authorities in inner London.

The cost of providing homelessness services is now the single biggest threat to the financial stability of London local authorities, with London boroughs having to spending £5 million a day on temporary accommodation for homeless households in 2024/25. The debate was an opportunity for MPs to discuss ways to help boroughs meet London’s spiralling temporary accommodation bill.

Helen Hayes said:  “Our councils desperately need help with the cost of temporary accommodation… the amount the government pays councils to subsidise temporary accommodation has been frozen since 2011. Will the government work to increase the subsidy for temporary accommodation so that it is closer to the actual housing costs our councils face?”

Women's Forever Fund

One of London Councils' longstanding grants partners ( [link removed] ), Women’s Resource Centre, has launched ‘The Women’s Forever Fund’ in response to the chronic funding crisis of the women's sector.

The charity has proposed a new fund, which will be an ethical investment vehicle for sustainable funding. The women’s sector currently receives only 1.8% of charitable funding.

The charity is seeking an initial government contribution of £50 million to make this model a reality, drawn from the Dormant Assets Scheme, from which the women’s sector has never previously benefited. To find out more about the Women’s Forever Fund, visit their website here. ( [link removed] )

City of London

An Aldermanic election took place in the City of London's Coleman Street ward last week (5 Feb). The election was won by Sushil Saluja (Ind). Full result here ( [link removed] ).

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In the news this week...

London councils call to keep half of funds raised by tourist tax
The Independent ( [link removed] )
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Peray Ahmet: Pan-borough approach to tackling VAWG
LGC ( [link removed] )
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London Cancer Hub's £1bn campus plans approved
BBC News ( [link removed] )
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London to get £1.5bn share of housing loan scheme
BBC News ( [link removed] )
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Government to pay off 90% of SEND deficits
The MJ ( [link removed] )
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London Local Government 
Directory

You can find contact details for every councillor in London in our London Government Directory here ( [link removed] ).

London Councils Committees

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Transport & Environment Committee ( [link removed] )

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Transport & Environment Executive Committee ( [link removed] )

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Grants Committee ( [link removed] )

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Grants Executive Committee ( [link removed] )

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London Councils is the collective of local government in London, the 32 boroughs and the City of London.
We also run pan-London services like Freedom Pass and Taxicard.
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