National Insurance: Employer Contributions

Debate between Lord Scriven and Baroness Taylor of Stevenage

Thursday 9th January 2025 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

I agree with the noble Lord that special needs transport has been a significant burden on local government in recent years, and with little help from the last Government. However, in the Budget, the Government announced £2 billion of new grant funding for local government in 2025-26. That includes the £515 million to which he referred to help with national insurance contributions. That £2 billion covers special educational needs home-to-school transport. I am not saying that will totally solve the problem. We have a spending review in the spring where I hope we will be able to look at that even further.

[Lord Scriven (LD)]

My Lords, the new burdens approach says that councils should be fully funded. The Minister keeps referring to the £515 million uplift, yet the Nuffield Trust has pointed out that the NICs increases will cost local authorities £900 million. Where is the extra £400 million coming from, and why has it not been handed over by the Government as part of the new burdens approach?

Spending Commitments to Local Councils

Debate between Lord Scriven and Baroness Taylor of Stevenage

Monday 22nd July 2024 Lords Chamber

[Baroness Taylor of Stevenage (Lab)]

The noble Lord is a great champion of libraries, culture and arts in this Chamber. The severe pressure that local authority funding has come under in recent years has had a particular impact there. We will want to look closely at whether we can help alleviate those pressures. Libraries provide such a fantastic resource for our communities, as do the leisure facilities that local authorities provide.

[Lord Scriven (LD)]

My Lords, I declare my interest as a vice-president to the Local Government Association. Will the Government support a pilot in one area, as laid out by the Institute for Government, for a small tax assignment scheme to test what it says will be the positive impact for local areas’ revenue? If not, why not?

[Baroness Taylor of Stevenage (Lab)]

I am sure that officials in my department are looking with great care at the report concerned. We will consider all the recommendations in it with due care, as we always would.