(3 days, 21 hours ago)
Commons ChamberOn 16 December, I wrote to all councils in two-tier areas and neighbouring smaller unitaries, including in Devon, to set out plans for a joint programme of devolution and local government reorganisation. Later this month, I intend to formally write out to those councils on the shortlist to ask for interim proposals by March and fuller proposals later in the year. We will confirm that as soon as possible, because we know it is important to have clarity.
Obviously, any reorganisation will impact council finances. My constituency of North Devon has coastal towns with real pockets of remote deprivation, isolation and poverty. Now that the Minister’s Department has cut the rural services delivery grant, what methodology will be used to ensure that local government funding does not overlook those areas?
With respect, the hon. Gentleman is conflating two entirely separate issues. One is reorganisation, which will take money away from the back office and put it on the frontline where people can see the benefit of that investment, but to be absolutely clear on rural services, the provisional settlement that was laid out ensures that primarily rural councils get an average increase of 5%, and no council sees a net reduction in its income levels. That is our commitment to rural communities, and it is firm.