UK devolves income tax to regions as new Greater Manchester mayor takes office

Bev Craig secured the Greater Manchester mayoralty with 309,525 votes, defeating Reform candidate Sian Astley who received 157,178. The 41-year-old Labour politician succeeds Andy Burnham, who vacated the post to contest the Makerfield by-election in June before becoming prime minister.

The election cements a major structural shift in British public finance, as the new national government plans to hand English city region mayors a share of income tax revenue for the first time. This transfer of fiscal control away from Whitehall is designed to stimulate regional economies and give local leaders direct levers over growth.

Craig welcomed the fiscal autonomy, stating: "For a prime minister two weeks in, to start giving powers out of Whitehall and putting it in the places that can make a difference - that can change our lives." She pledged to use this new control to improve the region, stating she would rise to the challenge and not stop at current growth levels.

For the regional property and construction sectors, the new administration has committed to a substantial housing pipeline. Craig promised to deliver 50,000 new homes over the next 15 years, utilizing a mix of council properties and genuinely affordable housing.

Local retail and transport operators will also see immediate policy interventions aimed at stimulating high street footfall. The mayor plans to freeze fares on the Bee Network, extend free bus travel to children aged 11 to 18, and launch a £20m regeneration scheme to support small businesses and empty town-centre units.

Prime Minister Burnham described this agenda as "Manchesterism", focusing on devolution and local control over daily essentials like housing and transit. He urged Craig to push the region into its "best decade ever", dubbing her the "queen of the north" during a joint post-election rally.

However, opposition parties have warned that the broader fiscal devolution plans lack detail and risk penalizing areas with weaker local economies. Voter engagement also remains a challenge, with turnout falling just under 25 percent of the more than two million eligible residents across the ten boroughs.