If Fiscal Devolution is the Answer for English Local Government, What is the Question?

Many commentators critiquing the British state cite fiscal devolution to English local authorities as a desirable reform. This article argues that fiscal devolution will be of questionable benefit unless it is well designed and located in a narrative of the purpose of local government. Fiscal devolution does not guarantee more money, better accountability, improved decision making or increased growth for local authorities. These are excessive claims that are not clearly borne out by experience in other countries. There are stronger rationales for introducing fiscal devolution in England: reducing dependence on transfer grants and property taxes, thus enhancing the financial stability of local authorities; and leading the development of a culture of parity of esteem between central and local governments.