Local Government Finance (England)
Debate between Greg Clark and Louise Ellman(8 years, 8 months ago)
Commons ChamberRead Full debate Read Hansard Text
Greg Clark
Thank you very much, Madam Deputy Speaker. Given those numbers, I will be brief in taking interventions, but I will take the point from the hon. Member for Liverpool, Riverside.
Mrs Louise Ellman (Liverpool, Riverside) (Lab/Co-op)
I thank the Secretary of State. Does he recognise the problems of Liverpool, which faces a 9% cut in funding next year, coming on top of a 58% cut since 2010?
Greg Clark
I have been very clear that all councils need to continue to make savings. As I think the hon. Lady will know, the way in which we have conducted the settlements has been fair across the country, as the Institute for Fiscal Studies pointed out. In fact, a council that she knows very well that is close to her area, Sefton Council, said in its response to the consultation:
“The announcement that core spending power will be reduced by only 0.5% between 2015/16 and 2019/20 in cash terms and 6.7% in real terms, is better than we had expected last summer.”
That is from her neighbouring council.
Local Government Finance
Debate between Greg Clark and Louise Ellman
Greg Clark
Indeed it is, which is exactly why we are making the transition to business rate retention, where it is not the representations that councils make to central Government for grants, but their ability to attract businesses and to grow those businesses that will be the determinant of the resources they have available. Councils and Conservatives have long wanted that, and I am confident that both my right hon. Friend’s county council in West Sussex and his excellent district council, the membership of which I know very well, will respond with great alacrity to the opportunities available to them.
Mrs Louise Ellman (Liverpool, Riverside) (Lab/Co-op)
The crisis in social care in Liverpool will not be resolved by either the new precepts suggested or the Minister’s statement today, as it is the result of the 58% cumulative cut in funds by central Government on the poorest area in the country. Will he take another look at this very critical situation?