Politics
Islington Voters Decide Levy Funding for Jobs and Infrastructure Projects
Voters in Islington will decide on a proposed levy that would allocate funds to employment schemes and upgrades at sites including Highbury Corner and the Angel.
How we reported this
The Islington Infrastructure Levy Referendum, scheduled for 12 September 2026, asks residents to approve or reject a 1.5 per cent supplement on business rates above a threshold of £200,000 annual rental value. The measure would raise an estimated £4.2 million per year for transport links, skills training and maintenance of community facilities, according to the draft order published by Islington Council on 2 July.
Why the vote arrives now
National changes to business rates relief announced in the March 2026 budget end temporary support for larger premises from April 2027. Islington Council must therefore decide how to replace revenue previously drawn from central grants. The referendum clause appears in the Local Government Finance Act 2025, which requires explicit local consent before any new levy lasting more than three years can be introduced.
Residents who work in retail, hospitality and social care stand to see the largest direct effects. Funds would support an expansion of the existing Islington Works programme, which placed 1,140 people into jobs last year. The levy would also pay for resurfacing works on Upper Street and new cycle lanes connecting to the proposed Crossrail 2 station at Essex Road.
Projected allocation of funds
Under the published spending plan, 45 per cent of proceeds would go to capital projects, 30 per cent to adult skills courses run at City and Islington College, and 25 per cent to day-to-day repairs of libraries and leisure centres. The council’s 2026-27 budget papers record that current reserves for highways maintenance stand at £1.8 million, sufficient for only one further year of routine patching before backlog works begin.
Ballot papers will reach households by 15 August. Results must be declared within 14 days and, if passed, the levy would begin collection from April 2027. Council officers have stated that any unspent funds at the end of each financial year would return to the general fund rather than roll over automatically.