Covid-19: Local Government Finance

Lord Shipley Excerpts

Monday 29th June 2020 Lords Chamber

[Lord Greenhalgh]

We need to recognise that monthly reports are now provided to the ministry by all local authorities so we can keep track of expenditure. Broadly speaking, the first two tranches, totalling some £3.2 billion, are in line with—or approximately the same as—the money spent to address demand pressures related to Covid-19. In addition, a number of other steps have been taken to deal with cash-flow emergencies and other pressures. As I said in response to the previous question, the definitive financial plan will be made but we will continue to keep close contact with councils.

[Lord Shipley (LD) [V]]

Will the Minister confirm that the Government will not try to push a greater financial burden on to council tax payers to meet the current funding gap, which should be met nationally?

[Lord Greenhalgh]

As we have said, our focus is on covering both the demand pressures and the income deficit and on providing the comprehensive package that will ensure that council tax payers do not face that unnecessary burden.