Clive Betts
Main Page: Clive Betts (Labour - Sheffield South East)(11 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text
Mr Pickles
I can give my hon. Friend that reassurance. The figures show that the scheme that gives the weighting for deprivation is essentially unchanged from Labour’s scheme, apart from one significant change. We have introduced banded floors—damping floors—that mean that those who are more dependent on grant receive more protection than those who are more prosperous. It is fair to say that the settlement is more progressive and gives greater weight to deprivation than Labour’s scheme.
Mr Clive Betts (Sheffield South East) (Lab)
When the Secretary of State first announced the settlement for next year he referred to a cut in spending power of 1.7%. Will he confirm that that should have been 2.6%, as he double-counted the council tax support money? Will he also confirm that the cash handed over to local authorities in the start-up funding assessment next year will be 8.4% less than this year’s formula grant, which it replaces? Will the Secretary of State stop pretending that cuts of that magnitude can be managed without hitting front-line services?
Mr Pickles
I am delighted to confirm to the hon. Gentleman that the reduction in spending power is not 1.7% but 1.3%. That represents good news. Figures tend to move about—[Laughter.] That is why we have a provisional settlement. I do not know why Opposition Members are laughing; I respectfully remind them that in several settlements things changed dramatically and that one year Labour was forced to go out to consultation again.