Local Government Finance Settlement

Debate between Baroness Donaghy and Lord Bourne of Aberystwyth

Thursday 15th December 2016 Lords Chamber

[Baroness Donaghy (Lab)]

My Lords, perhaps I may make a couple of points and then ask a question in relation to the schools funding announcement made earlier this week. First, it is always the depths of December when we get the local government finance announcement, and no doubt we will have a debate on it in the depths of January. I do not know if this is absolutely inevitable, but in the six years that I have been in the House, it is during those two months when local government finance announcements are, shall I say, slipped out.

Secondly, the £240 million announced for the adult social care support grant would be just about enough for the London Borough of Southwark where I live, so I do not know how everyone else is going to manage. We are talking about a much larger scale and it is quite wrong of the Government to pretend that that relatively small amount of money is going to make any difference whatever. I think that my noble friend indicated that it was about improving social care; I do not think he said that it would not do anything for social care.

Finally, the council tax precept is probably one of the most cynical political moves I have ever seen. Councils that are able to raise money without actually losing an election are probably those which are the least in need, while those that are most in need would not dare to try for the precept. It is wrong to pretend that this is about local autonomy when it is about the Government hiding behind local authorities for their total abnegation of responsibility.

My question is around the schools funding announcement. If I remember rightly it stated that some schools would get more but others—those in larger urban areas, it turns out—will have the equivalent of a 3% cut in real terms. If inflation is included, it will be a real terms cut of 5%. Can the Minister tell the House how that funding announcement for schools relates in general terms to the local government finance announcement? Has any thought been given to how the two will interrelate, or will it be a double whammy for some local authorities?

[Lord Bourne of Aberystwyth]

My Lords, I thank the noble Baroness, Lady Donaghy, for her questions. In terms of where she is sitting, she is much closer to the noble Lord, Lord Beecham, than I am and I apologise if I misheard the point that he made. It appears that that may possibly be the case.

As to these announcements being made at this time of year, as the noble Baroness indicated, the fact that they happen every year at this point means that that is the cycle. It will always be the case that some government business is taken at this time of year and there is nothing particularly to be read into that. I understand what she is saying about the £240 million but it is additional money and is nowhere near all the money that is spent on adult social care. I should make the point that it is additional money and will make a difference, and of course there is always the option of moving forward on the precept with additional spending next year and the year after, which, over the two-year period, comes to some £900 million. That is a significant amount.

In relation to the school funding announcement, I hope the noble Baroness will understand that it is not something I am briefed on at the moment, but I will ensure that she gets a response to what I think was an announcement made by the Department for Education on the issue. I hope that that is appropriate.

Short-Term Letting: Deregulation

Debate between Baroness Donaghy and Lord Bourne of Aberystwyth

Wednesday 19th October 2016 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, that is not the case. There are powers in relation to London. This is only a London issue, too; elsewhere in the country, prior to the change in the Deregulation Act 2015, there was a power to let without limitation. In London there is now a power to let for up to 90 consecutive days, so anything in breach of that is a breach of planning law and it rests with the local authority to enforce it. As I have indicated, there are provisions in leases. There are also of course provisions in relation to statutory nuisance; if litter should be left around or should there be noise, there are existing powers. I do not think we need additional ones.

[Baroness Donaghy (Lab)]

My Lords, what assurance can the Minister give the House that the Government are looking carefully at the health and safety, fire prevention and noise and nuisance aspects of short lets? They seem to be using not very satisfactory existing law instead of looking at the situation as a whole. Can he assure us that the Government have a picture of this developing situation?

[Lord Bourne of Aberystwyth]

My Lords, the noble Baroness refers to an issue that is London-only, because prior to the change in the Deregulation Act, the position was exactly the same in other areas of England. The recent change in the law brought London to a degree in line with the rest of the country, except that there are more restrictions in London, because there is a 90-day limit. As I said to the noble Baroness, Lady Boothroyd, existing powers on statutory nuisance are and have always been available to other tenants and landlords. Of course we monitor the situation, but there is already a satisfactory range of powers.

Fuel Poverty

Debate between Baroness Donaghy and Lord Bourne of Aberystwyth

Thursday 28th January 2016 Lords Chamber

[Baroness Donaghy]

To ask Her Majesty’s Government what is their estimate of the number of households currently in fuel poverty; and what action they intend to take to reduce that number over the next five years.

[The Parliamentary Under-Secretary of State, Department of Energy and Climate Change and Wales Office (Lord Bourne of Aberystwyth) (Con)]

My Lords, the latest fuel poverty statistics indicate that 2.35 million households were in fuel poverty in England in 2013, which was down from the previous year. The average fuel poverty gap—the measure of the debt for fuel poverty—also fell in that year. Our intention now is to focus our efforts more effectively on those in greatest need, and from 2017 a reformed energy company obligation will focus on the fuel poor.

--- Later in debate ---

[Baroness Donaghy (Lab)]

I thank the Minister for his Answer. I asked the Question in memory of Lord Ezra, who will be much missed, and who asked this question on a number of occasions. Is it true that one pensioner dies of a cold-related illness every seven minutes in winter, and that the complexities of tariff switching to save money would defeat a mathematician? Will the Government act to place a legal obligation on suppliers to put appropriate pensioner households on the lowest possible tariff, and will they ask Ofgem to develop a backbone?

[Lord Bourne of Aberystwyth]

My Lords, I certainly associate myself with what the noble Baroness said about Lord Ezra, who is certainly much missed. Indeed, one of his great interests was fuel poverty. In relation to measures that can be taken by the Government, as I have indicated, we are now focusing the energy company obligation, which has a value of £640 million every year, on the fuel-poor. Previously it has not been the sole criterion but by 2018, with de minimis exceptions, it will be, which will make a material difference. As the noble Baroness will know, we are also awaiting the CMA report, which we certainly hope will be robust; we are very much on the side of consumers and want to get bills down.