Local Government Finance Settlement

Chris Leslie Excerpts

Tuesday 19th December 2017 Commons Chamber

[Sajid Javid]

I can absolutely give my hon. Friend the assurance that we are looking seriously at fair funding issues, which is why today’s launch of the consultation is an important step. Over the next 12 weeks, we will look at the cost drivers, which will have a direct input into the outcome of that review, making sure that all local authorities are funded on the basis of their actual needs.

[Mr Chris Leslie (Nottingham East) (Lab/Co-op)]

Surely the Secretary of State will agree that any funds available should be allocated on the basis of need and evidence. He is surely not going to look at what he did previously, when he used the transitional grant scheme and a large lump of money mysteriously found its way to wealthier areas, bypassing the midlands, the north and cities such as Nottingham. The National Audit Office criticised the opacity and political allocation of that. He is not going to use that discredited ruse again this year, is he?

[Sajid Javid]

There would have been less of a need for a fair funding review to make sure that funding is allocated based properly on needs if the last time it was done, in 2007, it had been done properly and had actually been based on needs. I agree with the hon. Gentleman’s central point, which is that we need to look again at how funds are allocated to make sure that that is done on the basis of need. That is why I think he will welcome today’s consultation.