John Pugh
Main Page: John Pugh (Liberal Democrat - Southport)The right hon. Lady makes a mistake that afflicted the Government of whom she was a member—the fatal flaw of confusing plans with homes. In many cases there was an inverse relationship: the higher the target, the lower the number of homes actually built. That is why we want to reform the planning system. The Government’s intention has been absolutely clear. There is not a councillor, planner or developer in the country who does not know that the regional strategies are on the way out and will be buried and interred for ever.
8. What his policy is on the distribution of reductions to local authority funding over the comprehensive spending review period; and if he will make a statement.
We will announce our proposals for the local government finance settlement in the usual manner in due course.
It would be rational to accept that the size of the front-loaded cuts coupled with the council tax freeze in the first year will create a huge problem for even prudent local authorities, necessarily giving them less time, less flexibility and less chance of saving front-line services. Does he agree?
No I do not. I draw my hon. Friend’s attention to the fact that we have proceeded at a rapid rate with de-ring-fencing and breaking down the silos between different funds coming to local councils, reducing the number from more than 90 to around 10. We are also putting large sums of money at the disposal of local authorities. I also want to draw his attention to the option that local authorities have of raising their council tax income by up to 2.5% and receiving a compensatory grant so that their residents do not have to bear that cost, thereby protecting residents and giving councils the opportunity to generate more revenue.