Local Government Funding

Debate between Charles Walker and Vicky Ford

Tuesday 15th January 2019 Westminster Hall

[Vicky Ford]

I agree about the importance of local services, but the lesson from the restructuring of children’s services in Essex was that they became an outstanding service through a focus on the most vulnerable, who most needed support. When they were focused more broadly, and were not necessarily so targeted on the vulnerable, they did not achieve the same outcomes for the young people who really needed them.

I shall not say that there is not a challenge in Essex County Council. Indeed there is. There is huge pressure from population growth, inflation growth and increasing demand for services. The county council is announcing today that it will increase council tax by just under 4%. It would dearly have liked to be in the pilot scheme for business rate retentions, and is disappointed not to be. There has been some more money from the Government, which is welcome, for winter pressures, social care and highways, but those have been short-term amounts. They are not for the long-term planning that is needed.

As my colleague and neighbour, my right hon. Friend the Member for Witham (Priti Patel), pointed out, the impact on adult social services is severe. About 45% of the county council’s budget is spent on adult social services. We are expecting a nearly two-thirds increase in the number of over-80s in the next decade, and a doubling in the number of over-90s. Seven care homes have been closed and while the county council has tried to minimise the impact of that, and to support those who are affected, the impact on residents is necessarily huge. We need a longer-term solution for the funding of adult social services. The council is making quite sensible, radical changes in its thinking on insurance schemes, lifetime individual savings accounts, possibly more of a local sales tax, and other ways to take the business rate retention scheme to the next level. We need to focus on that.

We are a rapidly growing part of the country. In Chelmsford, it is planned to build about 18,000 homes. We need those new homes. People want to come and live in the county, and we need to help young people on to the housing ladder, but we need the infrastructure to go with it. The county council is spending about a quarter of a billion pounds this year on roads, and primary and secondary school places, but there are some long-term projects, such as our second railway station and the north-east bypass. Those are infrastructure projects for which people have waited decades, and they are vital to go with the housing. I wanted to pick up on the point about homelessness raised by my hon. Friend the Member for Central Suffolk and North Ipswich (Dr Poulter).

[Mr Charles Walker (in the Chair)]

Order. Will the hon. Lady begin to wind up, just to be generous to other Members?

[Vicky Ford]

Yes, I will, Mr Walker; thank you.

There are huge pressures in tackling homelessness. Local charities work hard, but they need more support from Chelmsford City Council. It is the only city that has not had extra support for homelessness. We have projects to secure more social lettings and supported housing, and more help for those at risk of becoming homeless. I hope that the Minister will see that those funding bids are granted.

[Several hon. Members rose—]