Local Government Funding

Debate between Lord Walney and Barbara Keeley

Monday 6th December 2010 Commons Chamber

[John Woodcock (Barrow and Furness) (Lab/Co-op)]

I am grateful for the opportunity to speak in this important debate, and it is good to follow a well reasoned contribution from the hon. Member for Meon Valley (George Hollingbery), in which he made a number of interesting efficiency suggestions. All local authorities throughout the country need to think about the efficiencies that they can fairly and equitably make, but this debate is not about whether local authorities need to make them. It is about the way in which the funding settlement will be distributed throughout the country, and the unfair way in which it will impact on some of the most needy areas in the country.

It is unfortunate that we remain in the dark at this late stage of the funding cycle. The Minister complains that people are speculating about the final outcome, but this debate is his opportunity to tell us definitively what will happen and to reassure the House that the scenarios that the special interest group of municipal authorities, among others, has modelled will not come to pass. I am afraid, however, that in the absence of any hard answers from the Ministers, SIGOMA’s analysis is a good one that will continue to gain a great deal of currency.

[Barbara Keeley]

Was my hon. Friend as surprised as I was to hear that the hon. Member for Bermondsey and Old Southwark (Simon Hughes) seems to have received from the Government reassurances that have been denied to the rest of us? I wonder whether the Minister is prepared to share the reassurances that he has given to that Member with other Members.

[John Woodcock]

Members from all parts of the House will have noticed that, and the Minister has an opportunity now or later in his winding-up speech to share that information.

The hon. Member for Bermondsey and Old Southwark (Simon Hughes), who resumes his seat as I speak, gave an eloquent speech in which he took issue with a number of his Government’s key policies, but he fell into the trap that even the Secretary of State has fallen into. The hon. Gentleman said, “Wouldn’t it be outrageous if any local council were to cut the budget of the voluntary sector to try and balance the books?” I say to him and the Minister, however, that local authorities are looking at the dire situation they face and the appalling decisions they have to make, and from the feedback, I have they do not welcome Ministers telling them what they ought not to do.