Oral Answers to Questions

Gareth Bacon Excerpts

Monday 10th July 2023 Commons Chamber

[Christian Wakeford (Bury South) (Lab)]

5. What recent assessment he has made of the potential implications for his policies of the impact of increases in inflation on local authority budgets.

[Gareth Bacon (Orpington) (Con)]

13. What recent assessment his Department has made of the adequacy of local authority funding.

[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Lee Rowley)]

We recognise that councils have faced challenges since covid, which is one of the reasons why we allocated billions more in subsidies to local authorities in the financial year 2023-24. Discussions on public spending often require hard choices and trade-offs on many worthy intentions, but we hope that the additional billions allocated demonstrate the Government’s commitment to local authorities.

[Lee Rowley]

As I outlined, we have allocated additional funds to local authorities in this financial year. It is also a statement of fact that a number of local authorities in England have increased reserves as a result of covid. In the last financial year, additional grant funding of nearly £7 million has gone to the hon. Gentleman’s local council, Bury Council, for adult social care.

[Gareth Bacon]

Does my hon. Friend share my view that one way to support local government finance and to reward well-performing local authorities such as Bromley Council would be to introduce multi-year funding settlements? Will he commission a review into the merits of this, so that local authorities can better plan for the future?

[Lee Rowley]

My hon. Friend is absolutely right. It is a testament to the good work of Bromley Council that he can demonstrate this and talk about it with knowledge and experience. Multi-year financial settlements are something that we all aspire to. One of the reasons we brought forward the policy statement for financial year 2024-25 was to ensure greater clarity for councils at the end of this spending review, and we hope to be able to return to multi-year settlements in future Parliaments.