Rural Councils: Funding

Debate between Anne Marie Morris and Simon Hoare

Wednesday 29th November 2023 Westminster Hall

[Simon Hoare]

Let us see.

Let me turn to some of the points that were made in the debate. Although levelling up is often portrayed in the media—and, indeed, sometimes in this place—as being something that is solely about the industrial north and midlands constituencies, it is not. There are strategies in place for coastal and for rural levelling up. As a one nation Conservative, I could support nothing other than that. We have to have policies that are of benefit to all our people, irrespective of where they live.

[James Gray in the Chair]

[Anne Marie Morris]

Will the Minister give way?

[Simon Hoare]

Will my hon. Friend forgive me for not giving way? I am really short of time and want to try to cover as much territory as I can.

Let me turn to some of the principal points. With regard to formula reform, if my hon. Friend the Member for West Dorset looks at my last question from the Back Benches to our right hon. Friend the Prime Minister and at my contribution to the debate on the King’s Speech, he will recall that I made precisely that point. It is a point that he, I, most people present and others have made throughout our time here: the formula needs reform. My hunch is that we could have done it, and probably would have done it, immediately after the 2019 general election, but along came our old friend covid. As desirable as a fundamental review of the formula would be, I do not believe that trying to ask councillors and their officers, who rose magnificently to the challenge of meeting local demand during the crisis of covid, to turn bandwidth, support and attention towards thinking about solutions to formula questions would have been the right thing to do.

We need to reform the formula, as is recognised, but I suggest to my hon. Friend that now is not the right time. In this settlement, we will have to play the hand of cards we are dealt under the rubric of the formula as it currently exists. I fundamentally agree with the Opposition spokesman and others that this should never be a job of robbing Peter to pay Paul. There are acute and identified needs for service delivery due to geography and sparsity in our rural areas, but there are also acute needs in our urban areas. Deprivation is deprivation; it merely manifests itself in different quantums and different varieties in urban and rural settings.

The Opposition spokesman is absolutely right to say that we do not want some sort of bidding war or competition. Where our people are in need and have a legitimate aspiration for the delivery of quality and reliable services, they should be delivered in a cost-effective way, irrespective of where one lives. If deprivation, poverty and need are blind, so must be those who provide services and the formulas that generate the cash to be able to do so.

We know that rural services are key. We also know, as a matter of indisputable fact, that by definition their delivery costs are higher, partly, although not exclusively, due to both sparsity and geography. [Interruption.] Mr Gray, I have been directing my remarks to Mrs Latham, having not realised that the Chair had changed. My apologies, Sir, if you have taken the Chair and I have transitioned you into something that you did not wish to be.