Green AM Benali Hamdache wants City Hall to have Scottish and Welsh style powers over housing

Green Party Assembly Member Benali Hamdache wants London to be given devolved powers that match those held by Scotland and Wales. He argues that City Hall cannot fix the capital’s housing crisis with the tax levers it has now.

Mr Hamdache set out his case on Friday 2 October at a fringe event run by Centre for London. The event took place in Brighton, where the Greens were holding their yearly conference.

London devolution compared with Madrid, Berlin and New York

Mr Hamdache said the fiscal powers held at City Hall lag well behind those of cities such as Madrid and Berlin. In his view, London has fewer devolved tax powers than other major European cities while facing problems particular to the capital. As an example, he pointed to primary schools closing because of house prices.

Speaking after the event, he said his thinking drew on New York, where Mayor Zohran Mamdani can levy a municipal income tax and impose property surcharges. “When you compare the amount of powers that Mamdani has compared to Sadiq Khan, it’s a huge, huge gulf,” he said.

Since taking office, Prime Minister Andy Burnham has handed mayors around the country more powers, including the option of an overnight tourist tax. He has also announced plans to let authorities keep part of the income tax raised in their areas. Mr Hamdache said a wide gap remains between what Whitehall has handed over and what City Hall needs. He added that other European cities can set up a tourist tax themselves instead of waiting years for Andy Burnham to act.

A return to Greater London Council powers

As a first step, he suggested looking at how the Greater London Council was structured before it was abolished in 1986. He said the mayor still has fewer powers than the GLC did, which had a say over education and health, and that London is only slowly moving back towards that position.

He said the chance to raise more money in London and spend it on homes would make a big difference, and called the ability to deliver housing at a London-wide strategic level “hugely, hugely important”.