Local Government Reform

Clive Betts Excerpts

Tuesday 6th September 2016 Westminster Hall

[Alec Shelbrooke]

My hon. Friend makes an important point about some of what I see as the disconnect in long-term planning among different levels of council, from those at the top—the county or unitary authorities—down to the parish councils. One of the ways in which I hope to simplify local government is to give clear delineation and planning for a fixed period.

The key change that I am talking about is effectively to have unitary county councils, with one member per ward of 15,000 people. I have chosen that figure, but I am not wedded to it; it is simply the case that in my city of Leeds, we have three councillors representing wards of 15,000 to 18,000 people. One councillor representing those wards would have more of a direct link to those people, rather than the link’s being diluted among three councillors. That is by no means to disparage any councillor. My experience has been that the local councillors in my constituency all work hard and make a contribution to the community, but I have reached the conclusion that it is time for councillors’ hard work and the fact that new powers have been passed down to them to be recognised by paying them a much larger salary. That would allow people to take up the role of councillor and give it their full attention on a full-time basis. I proposed in my paper that that salary should be £37,481, which is half of a Back-Bench MP’s salary.

[Mr Clive Betts (Sheffield South East) (Lab)]

I welcome the hon. Gentleman’s opening remarks and his report, which, as he said, stimulate discussion and debate about the future. I have one issue about councillors. The Communities and Local Government Committee held an inquiry in the last Parliament in which we looked at the role of councillors. We recognised that many still work, and they lose out financially when they become a councillor. That is perhaps okay until they get a family, but then it all becomes too difficult. My concern about his proposal is not that it is intended to elevate councillors’ income to some degree, but that it will almost exclude people who have careers and want to continue with council work.

[Alec Shelbrooke]

The hon. Gentleman makes a reasonable point, and I have tried to tackle that issue in what I have put forward. One of the reasons why I thought that it was time to move to paying councillors a considerable salary was that a lot of people are currently excluded from council work because they have a career in another area and find it hard to be a councillor alongside that. That issue is certainly evident in the make-up of some councils. I fully accept that the conundrum here is how we set a professional salary and allow people to come in from the outside world to contribute to council work, while allowing people to do that who may not necessarily be able to get the time off work. Whatever the law may state, there comes a point when people make that consideration for themselves.

--- Later in debate ---

[Alec Shelbrooke]

I thank the hon. Gentleman for his intervention. Perhaps controversially—this is a policy put forward in the past not by my party but by the Liberal Democrats—as much as possible I would move money-raising powers down to the local authorities. Certainly we are seeing the passing down of business rates and although I do not know the exact proportions, so I would not like to put on the record what the change is, more and more of the local government settlement is coming from within local government rather than from central Government grant.

That opens up a much wider debate than time will allow—I know several people want to speak—but the point of the drive I am making is that significant powers would be passed down to councillors with the increased salary and accountability. For example, I would give the chair of the clinical commissioning group—one CCG for the county—a cabinet position in the local authority. I was commenting earlier that Nicola Sturgeon was a very well known MSP across the UK before she was leader because she was in charge of healthcare. She made a real name for herself there. People knew exactly who was responsible for what happened, and that could work in local councils. A lot of healthcare could be passed down to the local authority, and it could have people there.

I thought about putting police and crime commissioners in the cabinet, but I did not do so. As I have said on the record several times, I favour merging West and South Yorkshire police—the hon. Member for Sheffield South East (Mr Betts) totally disagrees with me on that—so I would keep PCCs separate from the county councils because otherwise we would remove that option. That is one area that I would not bring into the county council set-up.

[Mr Betts]

I thank the hon. Gentleman for giving way once again and I apologise to him and to you, Mr Howarth, because I probably cannot stay to the end of the debate as I have an appointment at 11 o’clock. I very much agree with his comments about moving tax-raising powers down and about bringing health and social care together. However, he proposes that a model be forced on authorities. Combined authorities work because counties come together to pool their powers. The met councils come not work because they were an imposition from the top, which districts really resented, and that created a lot of conflict. I wonder whether he has thought through that concern.

[Alec Shelbrooke]

The hon. Gentleman is absolutely right. This is a controversial proposal and I am effectively saying, “I’m going to tear up everything that exists and the Government will enforce a new pattern, which I believe is better.” That is a totally controversial policy and many people may disagree with it. However, to promote working together I propose a new model under which, instead of just having the leader of the council, there would be a county Mayor—a separate, elected person who would work together strategically with the other authorities and feed that in as a joint partnership.

I do not shy away from the fact that I am putting forward some really radical ideas and radical reform, and that there will be people who strongly disagree with them. I welcome that, because I genuinely want to start a conversation about how to move forward. I do not expect that a great many of my ideas will ever be adopted, but I think there are aspects that a lot of people can agree on, and local authorities around the country, who I am sure are listening today, may look at those aspects and think, “Actually, I don’t agree with imposition from Government on these issues, but perhaps there is an argument for having just one all-out election.”

To take the City of Leeds, it costs £1 million to run an election. If we had one all-out election, we would save £2 million—half a million pounds a year—which in tight local government budgets is a considerable sum of money.