Local Government: Funding

Earl of Clancarty Excerpts
Monday 27th January 2025

(4 weeks, 1 day ago)

Lords Chamber
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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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The English Devolution White Paper sits at the heart of the reform we want, and that will involve both funding and money. I understand the pressure for urgent reform of council tax, but we have to be committed to keeping taxes on working people as low as possible. It is for local authorities to decide where they set their council tax. The Government will consider longer-term options to improve council tax billing and all those things, but council tax is a well-understood tax and it has very high collection rates. In terms of business rates, we published a discussion paper, Transforming Business Rates, which set out the priority areas for reform. We have had very good engagement on that and we will publish our update in due course.

Earl of Clancarty Portrait The Earl of Clancarty (CB)
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My Lords, what guarantee can the Minister give that the most locally funded arts and cultural services—including libraries—such as at district council level, will not be further lost in this reorganisation, against a background where, it has to be said, cuts to such services are continuing in many localities?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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As the noble Earl said, arts and leisure services took an absolute bashing as local government funding was successively cut over recent years. The purpose of devolution is to put control for that back into local hands and to make sure that more of the money spent in Westminster gets spent in the local areas to protect the services that people really care about and feel are important to them. I hope that will include those key leisure, arts and cultural services that make life around this country so rich and wonderful.

National Insurance: Employer Contributions

Earl of Clancarty Excerpts
Thursday 9th January 2025

(1 month, 2 weeks ago)

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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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I am always very happy to meet colleagues from NALC and have done so several times in the past, as the noble Baroness knows. The issue here is that parish and town councils have not traditionally been funded in the same way. It is for upper tier councils to decide. We have provided additional funding for upper tier councils. The local government funding settlement saw a 3.7% real-terms increase in funding. If upper tier councils choose to provide that funding, they are able to do so, but local councils also have the ability to precept, as she will know.

Earl of Clancarty Portrait The Earl of Clancarty (CB)
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My Lords, in the arts, already struggling theatres and museums are among those affected by these changes. What consideration has been given to mitigate this effect in the arts sector as a whole?

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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The noble Earl raises a key point. We have looked very carefully at charities and the voluntary sector. Many arts organisations have charitable status and there has been significant support in the tax incentives for charities. In fact, charities receive a better tax incentive in this country than in most other European countries. I know that it is not ideal and, as I say, it is not a decision we wanted to take. Unfortunately, the financial situation left to us by the last Government meant that we had to take it.

European Union

Earl of Clancarty Excerpts
Monday 7th October 2024

(4 months, 2 weeks ago)

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Baroness Twycross Portrait Baroness Twycross (Lab)
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I will take the proposal back to the department.

Earl of Clancarty Portrait The Earl of Clancarty (CB)
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My Lords, the Minister should agree that in the cultural area the UK should have much closer relations with the EU. Although the language has changed, we have not yet seen any action at all to address the specific concerns of the arts and creative industries. When will that happen? Every passing week represents lost opportunities and revenues for many artists and creatives who continue to face huge difficulties in Europe.

Baroness Twycross Portrait Baroness Twycross (Lab)
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There is a genuine commitment and determination from the Government to address this. I thank the noble Earl for his question on this point.

Spending Commitments to Local Councils

Earl of Clancarty Excerpts
Monday 22nd July 2024

(7 months ago)

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Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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Under the previous Government, 19 councils needed to seek additional support from the Government to balance their budgets for this year. This Government are committed to ensuring councils have the resources needed to provide those public services. We are already working closely with local government and other departments to understand the specific demand and cost pressures facing them. We urge any council experiencing financial difficulties to approach the department as early as possible so we can help work through a plan to resolve them.

Earl of Clancarty Portrait The Earl of Clancarty (CB)
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My Lords, councils have many demands placed on them, but a test of how effective the Government will be is whether they can reverse the cuts to cultural and leisure activities, including libraries. This is for the simple reason that they have usually been the first services to be cut.

Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
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The noble Lord is a great champion of libraries, culture and arts in this Chamber. The severe pressure that local authority funding has come under in recent years has had a particular impact there. We will want to look closely at whether we can help alleviate those pressures. Libraries provide such a fantastic resource for our communities, as do the leisure facilities that local authorities provide.