I will certainly compliment my hon. Friend’s local leader on making that choice. Despite the challenges local authorities faced over recent years, some 64% of them have frozen their council tax in this financial period.
17. Does the Minister agree with the conclusions of the Audit Commission, the National Audit Office and the International Monetary Fund, all of which say that the most deprived areas have been hit by the greatest cuts? Coventry is probably going to lose about 1,000 jobs and make cuts of about £75 million in the next two or three years, which will affect its basic services.
This is now the largest growing economy in the G20. It is only through following a long-term economic plan in which we grow our economy, receive taxes for that activity, employ more people and have more apprentices that we can invest in public services.
(9 years, 10 months ago)
Commons ChamberThe key thing about the choices that we have placed before local government is just that—local authorities can determine where money is spent. We appreciate that there is less money to spend as a consequence of the previous Administration’s activities, but it is right that people can make choices, set their priorities and—in this case—choose to look after very vulnerable individuals.
As well as growing their economies, the best authorities are transforming how they do business and demonstrating innovation, including in how they work with local partners. We are supporting them as they do that, helping them to achieve savings and, perhaps most importantly, improving outcomes for people who use local services. As I announced in December, we are developing proposals for a project to identify and disseminate good practice in transforming services, especially in rural areas. This work will involve rural authorities and the Rural Services Network, and is a clear commitment to our rural areas.
The hon. Member for Hornchurch and Upminster (Dame Angela Watkinson) mentioned demand for children’s services. In Coventry, we have to find an additional £7 million for children’s services. More importantly, we have to cut services across the board, because there has been a cut from the Government of £80 million, or 2,000 jobs, in general terms. What will the Minister do about that? He cannot go on blaming the previous Government. The coalition is in government now. There is no choice here, and that is being reflected in local government up and down the country. Local government is becoming a whipping boy for this Government, as it was for previous Conservative Governments.
I am not moving away from the fact that there was a huge deficit in 2010, which this Government or whoever come to power after the May election will have to continue to address. The hon. Gentleman says that we keep on going back to local government. I have not seen anything from the Opposition to suggest that they will do anything but continue to bear down on spending on local government, because they will have to address the issues of concern. We have given local government the opportunity to grow resources by promoting and developing business, by securing planning permission and building the houses required for the local populace. That is the right thing to do.
I thank my hon. Friend for his comments and obviously I know the areas he is talking about. All the Labour children’s centres are being protected and all the Conservative ones are being closed. The fact that he has raised this in Parliament—[Interruption.] Centres in Labour wards are being protected and centres in Conservative wards are being closed. The public have heard that and will make a judgment on it.
I was rather surprised that the Secretary of State did not make today’s statement, given that a quarter of the Government’s budget is spent by local government. He did the same thing the other day on the fire brigade.
This announcement will not help anybody in Coventry to participate. We need to find another £65 million for the libraries, for instance, and the welfare budget will affect a lot of people from among the worst-off. Equally, we have bed blocking because we cannot get social workers, which affects University hospital Coventry. The settlement is an utter disgrace and it is no good the Minister blaming the previous Labour Government when he and I know that it was the bankers he is apologising for.
I wondered how long it would take for the bankers to come up in this conversation. The Minister responsible for local government makes the local government finance settlement announcement, and I am pleased to do so today. If the hon. Gentleman wants to grow his local economy, rather than coming here, not wanting to talk about his failures as part of the Labour Administration, he needs to go back to Coventry and think about ways in which to grow the business base and encourage more housing. That will create better outcomes for the people he alleges to represent.