Oral Answers to Questions
Debate between Lord Pickles and Joan Ruddock(12 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text
Mr Pickles
That seems to me to be treating tenants as some 19th century mill owner might have treated his workers. It is entirely inappropriate that tenants should be refused their democratic right to display a poster. I urge the returning officer to look into the injustice immediately.
Dame Joan Ruddock (Lewisham, Deptford) (Lab)
There are 18,500 families on the council waiting list in my borough, but they cannot afford to buy the new homes that the Minister wishes to put on the brownfield sites in my constituency. He ought to understand what an insult it is to my constituents that the section 106 agreements, which could have brought community gain, will not be in place in Lewisham.
Local Government Finance
Debate between Lord Pickles and Joan Ruddock
Mr Pickles
The latter point will of course be a matter for my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs. On the capital programme, the various Departments will make their usual announcements in the reasonably near future, so that local authorities have an indication of their capital programmes.
Joan Ruddock (Lewisham, Deptford) (Lab)
The Secretary of State speaks of fair, sustainable and progressive proposals, but he must be using a different dictionary from the one on my bookcase, because his proposals will devastate my deprived constituency and borough of Lewisham. Given that 40% of the budget is spent on elderly and children’s care, can he not see that the proposals will mean draconian cuts in everything else? Will he not admit that his real agenda is shrinking the state and shifting the blame?
Mr Pickles
The hon. Lady will be pleased to know that Lewisham faces a drop in spending of 6.5% this year and 4.3% the following year. That does not strike me as draconian by any stretch of the imagination. She has made her reputation on shroud waving in this Chamber, but she should be addressing the needs of the people of Lewisham, who will continue to receive a high level of support from the central state to ensure reasonable provision in Lewisham.
Local Government Funding
Debate between Lord Pickles and Joan Ruddock
Mr Pickles
That is just a typical Labour intervention. It is not about the economy; it is all about getting as many bleeding stumps as possible. What we do know, through research, is that despite the various daft claims made about the number of people being made redundant in Birmingham, for example, the majority are going by way of natural wastage, turnover, mutuals and co-operatives being set up—something that Trotsky would have approved of—voluntary redundancies and early retirement. When it comes down to it, the likelihood is that the number of compulsory redundancies will be less than 4%. Frankly, these things can be managed with a will, and it is our intention that councils will manage them sensibly.
Owing to Labour’s planned cuts and the dire state of the public finances, the vast majority of councils have seen these difficult and challenging times coming, and they have been making sensible, constructive plans to address them. I want to support them with action, not meaningless words. I can make councillors’ and councils’ jobs a lot easier by scrapping regulations, tearing up unnecessary guidance and cutting through red tape. The Government are restoring real democratic accountability to local government, giving the power, the freedom and the authority to those who actually make the decisions. We have to be realistic. We realise that there is less money, but unlike the former Government, I do not intend to tell councils how they should spend it. The money given in this settlement will not come with strings attached. As we said during the spending review, with very few exceptions we have ended the ring-fencing of grants, so that councils can decide for themselves how their money should be prioritised and spent.
Under the spending review, we will allow councils to borrow against future business rates. We are also introducing powerful new financial incentives for councils, such as the new homes bonus. In addition, there is the £20 million through capitalisation, referred to by my right hon. Friend the Member for Berwick-upon-Tweed (Sir Alan Beith). Councils can top that up with the sensible use of their £10 billion of reserves—they were prudent and repaired the roof when the sun was shining, unlike Labour, and they can now spend that money when it is rainy. There are a whole range of measures that proactive councils can take—for example, improving transparency, sharing services, cutting out waste, improving procurement practice and bringing senior pay under control.
Joan Ruddock
May I tell the Secretary of State that my council of Lewisham has done all the things that he has just mentioned? Over the past five years, it has saved £40 million through efficiency savings. He made the point about jobs. Let me tell him that the council has just taken a decision to cut £16 million from the budget. That would cost 300 jobs, but only 50% of them could be found through natural wastage. However, the council tells me that front-loading means that it will not be able to plan to get down even to that level, let alone the 4% that the Secretary of State has just spoken about.
Mr Pickles
The right hon. Lady’s council has just £1 million short of £60 million in reserve. The decision that has been taken is its own, and I would urge it now to look at other measures. I would urge the council to look towards a joint—[Interruption.] It might not be for the right hon. Lady—I know she lives a champagne lifestyle—but £60 million is a lot of money. Let the council look towards sharing a chief executive, or sharing an education authority or planning authority. Let it look at working together right across back-office services.
At the heart of the settlement, we want to ensure the protection of hard-working families and pensioners; support for vulnerable individuals; help for vulnerable communities; and fairness, for both north and south, and rural and urban England. Practical policies to protect the vulnerable include: £1 billion in extra grant for social care and a further £1 billion from the NHS; a new role for councils in public health, backed up with extra funding; £2 billion for decent homes, improving the quality of life for those in poor-quality housing; and £6.5 billion to support people and allow the vulnerable to lead independent lives. Labour talks about fairness, but when it was in government council tax more than doubled—in some years, above inflation—thanks to fiddled funding and unfunded burdens.