Local Government Finance Debate

Full Debate: Read Full Debate

Local Government Finance

Jonathan Reynolds Excerpts
Wednesday 18th December 2013

(10 years, 11 months ago)

Commons Chamber
Read Full debate Read Hansard Text

Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Brandon Lewis Portrait Brandon Lewis
- Hansard - - - Excerpts

It is up to local residents to take a view on those local services. I say to the hon. Gentleman and to all Members in that area that, if the local authority is making decisions they do not like, they should lobby the authority to get it to do what they think is the right thing. I have to say that, when I have visited that area, I have found the residents to be very happy with the services. Some great work is being done there on shared services and shared management with Manchester, on freezing the council tax and on troubled families, to ensure that people are getting great services and improved services in that area.

Jonathan Reynolds Portrait Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)
- Hansard - -

There is no doubt that, either by accident or design, this Government have redistributed money from poorer areas towards the more affluent ones. Let me give the Minister an example relating to the new homes bonus. The bonus excess each year is financed by the redistribution of the formula grant. Because of the collapse in housing completions that this Government have presided over—in Greater Manchester, that involves about a third of the homes that we had been planning for—there has been a redistributional effect away from areas that really need the funds and towards London and the south-east. That funding imbalance then goes into the local enterprise partnerships and the local growth funds that the Government believe should drive prosperity in local economies. Surely the Minister knows the impact of his own policies on councils up and down the country.

Brandon Lewis Portrait Brandon Lewis
- Hansard - - - Excerpts

The new homes bonus is fairly simple: you build more houses, you get more money.