Oral Answers to Questions
Debate between Lord Foster of Bath and Helen Jones
Helen Jones (Warrington North) (Lab)
Why do Ministers keep claiming that they are freezing council tax when they are actually increasing it for 700,000 of the poorest working people in this country? Does it not say everything about the Government’s priorities that a low-paid couple with children will have to find between £96 and £304 a year, and a single working parent will have to find up to £577, while they are giving a tax cut to millionaires? Is not the truth about this Government that, despite their rhetoric, they are giving a slap in the face to hard-working people while putting out a bowl of cream for the fat cats?
Mr Foster
May I give the hon. Lady two basic facts? First, the reduction we have made in council tax benefit represents less than half of 1% of a council’s budget. Secondly, as a result of the pressure we have put on local councils, the average reduction in council tax since we took office is now nearly 10%.
Local Government Finance (England)
Debate between Lord Foster of Bath and Helen Jones(11 years, 10 months ago)
Commons ChamberRead Full debate Read Hansard Text
The Parliamentary Under-Secretary of State for Communities and Local Government (Mr Don Foster)
I agree with two things that were said by the hon. Member for Warrington North (Helen Jones). First, I agree that we do not have an opportunity to respond to all the contributions that have been made. If I do not manage to answer all the questions that have been raised, I will write to those who asked them, if that is possible. Secondly, I agree that this has been a passionate and largely well informed debate, which has demonstrated the existence of genuine interest in, and support for, the work done by all our local councils.
I fear, however, that the hon. Lady tended to be somewhat selective in her use of data. For example, she expressed concern about the education of less well-off pupils. What she failed to mention was that outside the local government funding settlement, the Government are providing significant additional funds through the pupil premium, and that the current amount will rise to £2.5 billion.
Mr Foster
No; others may wish to intervene.
I suggest that the hon. Lady is wrong in her analysis. I genuinely believe that the settlement is fair, but I also believe that it represents a watershed moment for local government. We have made it clear that it arms authorities with an average spending power of £2,216 per dwelling with which to protect services. We have also acknowledged that that is a reduction—a reduction in spending power of, on average, 1.3%. The hon. Member for Kingston upon Hull North (Diana Johnson) questioned which figures we should use. We are using the spending power figure because it is the figure that the Local Government Association asked us to use.
Concerns that the poorest councils would suffer disproportionately as a result of the settlement are simply wide of the mark. Hackney, for example, receives £1,700 more spending power per household than Windsor and Maidenhead.
Oral Answers to Questions
Debate between Lord Foster of Bath and Helen Jones(11 years, 10 months ago)
Commons ChamberRead Full debate Read Hansard Text
Mr Foster
No, it certainly is not. Having recognised that in some parts of the country there will be problems with the introduction of this policy, the Government have provided councils with large sums of money to help them with their transitional arrangements and ensure that everyone can have a decent home over their heads—unlike the last Government, who reduced the amount of social housing by a staggering 421,000 properties.
Helen Jones (Warrington North) (Lab)
Last week, the Tory deputy leader of Cheshire West and Chester council wrote to Ministers outlining the consequences of this policy. Can the Minister now tell him and us: where are the homes for families deemed to be over-occupying because they have a special room for a disabled child? Where are the homes for foster carers who are deemed to be over-occupying because they keep a spare room for emergency placements? Where are the homes for families who have a son or daughter in the armed forces who are deemed to be over-occupying because they keep a spare room for when those people are on leave? The Minister knows that the homes are not there, so why does he not abandon this vindictive policy?
Mr Foster
The Government are well aware of these issues, which is why we made an additional £25 million available to help in relation to the disabled people the hon. Lady talks about, and it is why we have made an additional £5 million available in relation to carers. While armed forces personnel are living at home, the home would have a £70 per week discount, whereas while the person is serving, the discount would be only 14%—a very much lower sum.