Edward Leigh
Main Page: Edward Leigh (Conservative - Gainsborough)Even the most deprived areas have an opportunity to grow the moneys they receive by promoting business. Newham, which is struggling in many ways, has still managed to grow its business rate base by some £7 million. It is up to local councils to set as a priority supporting the most vulnerable people. We have talked about social services, and it is important that councils make some choices in that area. The opportunity to grow the amount of money they receive is there, and we have put those mechanisms in place.
Will the Minister continue to address the grotesque divide in central Government funding of poorer rural authorities and urban authorities? For instance, my own district of West Lindsey, which is only 45 minutes from Hull, receives a staggering £282 per head less every year than Hull. That is simply unfair. People are paying £120 more in council tax, and I have in south-west Gainsborough the poorest ward in the whole country. Something needs to be done, and we need to have a fair settlement for rural authorities with a sparsity factor.
I recognise the problem. Despite the economic circumstances, we have sought to close that gap between rural and urban areas. The fact that we have increased the rural grant this year to £15.5 million goes some way to achieving that. I say again that the East Riding of Yorkshire, not far from my hon. Friend’s constituency, has managed to grow its business rate moneys by some £5 million. Both deprived and rural areas have the opportunity to grow the moneys that come to their local council.