Local Government Finance Bill

Debate between Heidi Alexander and David Ward

Wednesday 18th January 2012 Commons Chamber

[Mr Ward]

The issue that I want the Minister to consider is not so much to do with the resets—whether they should be every 10 years or every three years—because the reset implies that something needs changing, and the truth is that we do not know whether anything will. What is much more important, as we venture into the unknown, is how quickly everything is reviewed. That might be after one year, or two years, and not necessarily the three years proposed by the amendment. We need to have clear evidence as soon as possible about the impact and the consequences of what is proposed in the Bill.

[Heidi Alexander (Lewisham East) (Lab)]

I am grateful for the opportunity to speak in this debate, Mr Amess. I just want to pick up on the point made by the hon. Member for Bradford East (Mr Ward) about the principle of this Bill. I think that he said that most people in the Committee agree with it. I agree with the principle that local authorities should do all they can to promote economic prosperity and growth in their areas. I am not sure that I necessarily agree with the principle of retention and localisation of business rates, although I will not repeat my concerns about that point, which I expressed on Second Reading last week.

I support the amendment tabled by my right hon. and hon. Friends on the Front Bench, because it is overly optimistic, shall we say, of the Government to think that they will be able to get this legislation through and that councils will be able to put the requisite systems in place to introduce the new system of finance in 2013. If we are to have this new system, the commencement date should be moved back, to 2014.

Last week on Second Reading we heard a lot about how the issue of local government finance had been much debated and how the previous Government commissioned the Lyons review. We had an historical “tour de force”, going through the history of local government finance, even referring to the work of Layfield in the 1970s. Government Members seemed to suggest that there was a case for just getting on and doing something to localise business rate retention, but doing something for the sake of it is not the same as doing something because it is the right thing to do and because it will work. The complexity of the new scheme that is being proposed will not make the system of local government finance any more transparent to local councils and councillors, or even the general public, because what we have before us is a system with a whole range of baselines, tariffs, top-ups, levies, set-asides and safety net payments.

Localism Bill

Debate between Heidi Alexander and David Ward

Tuesday 17th May 2011 Commons Chamber

[Mr Ward]

Of course I agree.

Let me conclude by saying that it is time to set local government free. In that respect, the whole Bill, despite some good bits, is a wasted opportunity and thus a complete failure.

[Heidi Alexander]

I am conscious that many hon. Members wish to speak, so I shall limit my comments to a few. I applaud the hon. Member for Bradford East (Mr Ward) for his speech. I did not anticipate hearing comments like that from the Government side of the Chamber, but he is a man who says it as it is, and I respect his views and the way he put them.

I shall focus on two aspects of this group of new clauses and amendments: senior pay policy, dealt with in new clauses 27 and 28, and powers to make supplemental provision, as set out in amendment 37 to clause 5. Bringing transparency to senior council pay is entirely right. I accept that some people might have been paid excessively in some circumstances, but this constant bashing of chief executives and senior council officers by Ministers does a complete disservice to people who do an incredibly difficult job in councils up and down the country. Some of these people will have worked their whole lives in local authorities; others might have left good private sector jobs to work there.