Member Article

EU Referendum: Sadiq Khan sets out devolution stall following Brexit

As the aftermath of Thursday’s EU Referendum rumbles on, London Mayor Sadiq Khan has called for greater autonomy in order to protect the capital’s interest on the domestic and global stage.

In a speech at The Times CEO Summit today, the mayor is to turn the pressure up on the government to speed up devolution plans and protect jobs in the capital.

Khan has targeted London devolution as a matter of urgency following Brexit, as the capital arguably stands to lose the most from the UK dropping out of EU due to its global links and reliance on access to the open market, particularly its financial services which could face terminal decline.

Touching upon the ongoing petition calling for London independence which has attracted over 175,000 signatures, Khan stressed the city’s need for greater autonomy over its affairs.

He said: “As much as I might like the idea of a London city state, I’m not seriously talking about independence today. I am not planning to install border points on the M25!”

“But on behalf of all Londoners, I am demanding more autonomy for the capital - right now. More autonomy in order to protect London’s economy from the uncertainty ahead, to protect the businesses from around the world who trade here and to protect our jobs, wealth and prosperity.”

Devolution arrangements have been mooted for a number of years and have the backing of high-profile figures in the Conservative Party, including Chancellor George Osborne and former mayor Boris Johnson who set up the London Finance Commission report into devolution for London in 2013.

However, last week’s referendum decision has left some of the capital’s major industries and sectors, at the very least, facing a prolonged period of uncertainty and, in worst case scenarios, staring over the edge of an abyss.

Added to the mix is the clear schism that has developed across the country, between metropolitan centres such as London who voted to remain, and economically-deprived towns and cities who backed Brexit.

In such a climate, the mayor’s calls for the government to ‘move fast’ with its devolution arrangements will likely have significant backing from Londoners who recognised the importance of an outward-looking, international capital with unfettered access to the European single market.

Commenting on efforts to apply pressure to devolution arrangements, Baroness Jo Valentine, Chief Executive Officer of London First, said: “The Mayor is right that we must remain part of the single market.

“London businesses are absolutely clear this is critical to protecting jobs and prosperity, not just in the capital but across the whole of the UK.

“We also need London to keep the economic engine running by having the levers to drive forward projects such as Crossrail 2, doubling housebuilding and improving skill levels. Where the mayor needs more powers to act, he should be given them.”

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