Oral Answers to Questions

Debate between Grant Shapps and Luciana Berger

Monday 28th February 2011 Commons Chamber

[Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)]

5. What assessment he has made of the effects of reductions in formula grant funding on local authorities in the most deprived areas.

[The Minister for Housing and Local Government (Grant Shapps)]

Authorities in the most deprived areas will, thanks to the banded floors, receive a smaller reduction in formula grant than others. We have given greater weight to relative needs in the formula grant, and our new transition grant will make sure that no council has a spending power reduction of more than 8.8%.

[Grant Shapps]

Here is something for Labour Members to take into account: one cannot take money away from authorities that are not getting it in the first place. Of course, the biggest spenders, even if we use percentages in the same region, are going to feel the impact in a different way. Liverpool, for example, still receives £764 a head, whereas my authority, by contrast, receives £229 a head.

[Luciana Berger]

Will the Minister congratulate Liverpool city council, which is making £100 million-worth of efficiency savings? Does he agree with the independent efficiency expert Colm Reilly of PA Consulting who said that, given the huge cuts in Government funding, the council cannot make the scale of savings necessary without affecting front-line services?

Oral Answers to Questions

Debate between Grant Shapps and Luciana Berger

Monday 17th January 2011 Commons Chamber

[Grant Shapps]

The good news is that local people will, at last, be in charge of development in my hon. Friend’s constituency. Rather than targets being dictated from Westminster and our telling his constituents what should be going on, the balance will be in local hands. From April, his local authority stands to gain about £1.3 million through the new homes bonus. Local people will decide the pace and scale of growth, and the benefits that they want to derive. I trust them to do that more than I trust Ministers to do it from here.

[Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)]

What plans does the Minister have for neighbourhoods such as Picton and Kensington in my constituency, where housing stock had been planned under housing market renewal, the existing stock demolished or vacated, and then the funding taken away?

[Grant Shapps]

The housing market renewal programme was responsible for demolishing a large number of homes—so many that there are fewer affordable homes after the 13 years of the previous Government than there were when they got into power in 1997. There was something wrong with that programme and there is now an enormous funding problem. It will be for the local community and local authority to get together with the local enterprise partnership and pull together the various funding streams, which will include the new homes bonus because those homes are no longer there. When they are rebuilt, the local authority can benefit. I extend an offer to meet the hon. Lady to discuss the circumstances of the housing market renewal.

Oral Answers to Questions

Debate between Grant Shapps and Luciana Berger

Thursday 10th June 2010 Commons Chamber

[Grant Shapps]

In line with the localism that we have just discussed, this is, of course, a local matter. However, I hope that local authorities throughout England will take the logical and sensible approach, and be proud of the nation’s being able to come together to celebrate England’s—we hope—great success, and we encourage them to do so.

[Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)]

The recently announced cuts of £230 million to the Homes and Communities Agency include £50 million of cuts to housing market renewal, of which Liverpool has to take the burden of £4 million. Will the Secretary of State give his assurance that there will be no further cuts to vital housing market renewal projects, including those in Liverpool, Wavertree?

[Grant Shapps]

I have visited many of the housing market renewal areas, and we are passionate about ensuring that they can go ahead. In all the cuts that have been made, those in areas such as housing market renewal are the most concerning of all. Again, we have to get the budget deficit under control, but we will consult the areas involved to try to ensure that the impact is minimised. I look forward to a time when the economy is back on its feet again and we can really help the most needy communities in this country.