Oral Answers to Questions Debate
Full Debate: Read Full DebateLuke Hall
Main Page: Luke Hall (Conservative - Thornbury and Yate)Department Debates - View all Luke Hall's debates with the Ministry of Housing, Communities and Local Government
(4 years, 9 months ago)
Commons ChamberThis afternoon, we will debate and vote on the final local government finance settlement for 2020-21. The settlement is a huge investment in the sector, with a £1.5 billion boost for social care and the biggest year-on-year increase in spending power for a decade.
I am grateful to the Minister for detailing the amount by which he is increasing funding for local government spending, but Wyre Forest District Council has seen a 2.7% drop in funding, which is very disappointing. That is largely due to the fall-off in the new homes bonus. The council is doing its best to grant planning, but the problem is that developers are land banking. What can my hon. Friend do to help district councils that are doing their best to deliver new homes but are facing increasing land banking by developers? If his answer did not include anything to do with compulsory purchase, that would be terrific.
My hon. Friend is right that Wyre Forest’s core funding has gone up in line with inflation this year—an extra £46,000—but its funding has decreased due to the fall in new homes bonus payments, which are time limited and based on local home-building performance. It is worth noting that Worcestershire County Council will gain an extra £26.1 million this coming financial year and that across the country we see a 4.4% real-terms increase in core spending power, but we have committed to reviewing the new homes business and I look forward to working with him as we take that forward.
I welcome the Minister back to his place on the Government Front Bench. He is boasting that in the coming funding settlement he is offering a 4.4% boost for local authorities next year. Any budget growth is welcome, after a decade of decline, but he fails to tell the House that more than half of his figure is predicated entirely on every council in England increasing council tax and the social care levy by the maximum amount. Why does he feel the need to hide behind inflated council tax increases to present his good news to the House?
I am glad that the hon. Member welcomes the increase in core spending power for councils around the country. I hope he will vote for it this evening to make sure that councils have the funding they need. This is a huge investment of £1.5 billion in social care. The Government are protecting council tax payers from excessive increases, as stated in our manifesto, and we will make sure that the 4.4% real-terms spending increase—£2.9 billion—goes straight to the frontline of local authorities.
Of all my discussions in my constituency, it is the funding for the local council that is of real concern to me. There is not sufficient funding coming through to help Shropshire Council deal with the huge increases in adult social care costs. In addition, Shrewsbury is flooded today, and the council is grappling with that situation as well. We need more money for our local councils.
I was pleased to meet my hon. Friend and his local authority recently to discuss the important points he raises. He will of course know of the increased investment in his local authority to deal with social care, but he raises some serious points, and I look forward to ongoing discussions with him about how we tackle these issues in the weeks ahead.
I hope the hon. Gentleman will contribute to the consultation on the new homes bonus when it comes out. There is a real-terms increase in core spending power. If he wants more money for local authorities, it is time he put his money where his mouth is and voted for the settlement this evening.
It is up to individual local authorities to secure value for money in their spending decisions and to set a balanced budget. They have a legal duty to deliver continuous improvement and to combine that with economy, efficiency and effectiveness. Local auditors scrutinise their accounts, and my Department has ensured that all council spending over £500 is published so that local voters and anyone else can check that their council is spending its money wisely.
I welcome the Minister’s comments. With regard to value for money, will he investigate the circumstances in which Swale Borough Council’s cabinet recently gave £1 million to a company called Quinn Estates to allow the council to take back control of car parks in Sittingbourne that it already owned, and for which it was not legally obliged to pay a single penny? In addition, will he join me in condemning Swale’s cabinet for slapping a gagging order on councillors, threatening them with legal action if they dare to expose this shabby deal for council tax payers in my constituency?
I thank my hon. Friend for his question. As I have said, local authorities are independent of central Government and responsible for their own decisions. He has raised serious concerns about Swale Council and of course, if he has evidence of financial irregularities, he should report it to the external auditors in the first instance. He may also wish to consider reporting it to the National Audit Office, and I would be happy to meet him to discuss the matter further.
Time and time again, it has been proven that local government has the most efficient public services, yet the largest pressures facing local government are in adult social care and children’s services. Despite that, those services will still be cut. Blackburn has growing demand and limited resources. The Minister may announce huge amounts of money but in reality that will not even cover the unmet demand or the rise in the national living wage. Sticking plasters will not fix the problem. Will the Minister please tell us what he is going to do to end this crisis?
I will later today present our finance settlement, which the hon. Lady can vote for if she really thinks that there is not more money going to local authorities. There will be a 4.4% real-terms rise, a £1 billion social care grant, and a further £500 million that can be accessed, and the rise in council tax will be the lowest since 2016.
Does the Minister agree that, with the enhanced spending power that local authorities are about to get, they should prioritise care for disabled children? The needs of such children are becoming more complex, and we want to do more as a society to support them, so that should be reflected in the decisions of local government.
Of course, it is for local authorities to decide their individual local priorities, but my right hon. Friend is right to highlight the fact that the real-terms increase in core spending power for councils up and down the country means that money can be invested in the services that local authorities need the most.
The Minister said that councils are responsible for their own decisions. He is right on one level, but many local authorities are increasingly over-exposing themselves to certain commercial sectors—the Public Accounts Committee has examined this in depth—putting at risk council tax payers and the fabric of local government in their areas. He will know that some councils are at risk right now, so what is his Department doing to ensure that we are protecting council tax payers where local government is not doing so well?
The hon. Lady raises a serious point about the effectiveness of some types of spending. We are working with the Treasury to review the Public Works Loan Board rates and flexibilities that local authorities have, and we will ensure that we keep her updated in due course on the progress of that review.
Our Department has regular conversations with DEFRA about how to support councils to meet the national recycling target of 65% by 2035. The Environment Bill introduces a range of measures to boost recycling, and we will continue to work to ensure that councils are able to play their full role.
North West Leicestershire District Council is running a 2,000-home trial of food waste separation, and more than 25 tonnes of food waste has been diverted from landfill since mid-December as a result. Given that a third of black-bin waste is food or food related, will the Minister confirm that councils across the country will get financial support to enable them to roll out food waste separation to all homes?
I commend North West Leicestershire District Council on its work and note its recent “Recycle more…” plan. We recognise the importance of diverting food waste from landfill and will mandate weekly food waste collections in England through the Environment Bill, with DEFRA having committed to fully funding local authorities to do that in line with the new burdens doctrine.
Tackling homelessness is a key priority for this Government, which is why we implemented the Homelessness Reduction Act 2017 to prevent homelessness. The number of children living in temporary accommodation is lower than the 2006 peak and has stabilised since the 2017 Act came into force. Of course, there is more that we can do, and we are providing a further £437 million in 2020-21 to tackle homelessness and rough sleeping.
There are 6,000 children living in unregulated homes, often at great risk to their own safety. Councils have had their budgets cut by this Government, and children in care simply have nowhere else to turn. Six thousand children in care living in unregulated homes is 6,000 too many. When will the Government take the action that is needed to look after this vulnerable group of our youngest people?
I thank the hon. Gentleman for his question. He raises an extremely important matter.
The Secretary of State for Education has launched a review to see what more we can do and what further steps can be taken. Of course, it is hugely important to make sure that we are preventing people from becoming homeless in the first place, and that is why we are increasing homelessness and rough-sleeping funding by £69 million in the coming financial year.
Local authorities across the UK are placing unaccompanied vulnerable young people in private children’s homes across Blackpool without notifying either Blackpool Council or other statutory local agencies. What steps can the Minister take to ensure that any local authority placing such people in my constituency first notifies both my council and the police that those children are there?
Local authorities should make other local authorities aware of it when they are placing out of area; of course, we would always encourage local authorities to place in their area wherever possible. I am more than happy to speak to my hon. Friend about the specific example he raises.
This Government have recognised and responded to the pressures that local authorities are facing in delivering their statutory duty to protect children. For 2021, we are delivering an extra £1 billion for child social care and 4.4% into core spending power.
Andy Burnham’s inquiry into the abandonment of Operation Augusta showed a shocking scenario in parts of Manchester where children were being groomed in open sight. It also showed that before Operation Augusta was abandoned, and when the children’s department was working with the police, it was beginning to be effective in stopping that grooming. I simply do not accept the Minister’s answer that there is sufficient money now or that sufficient money will be provided. Ninety per cent. of children’s departments in this country are underfunded, and all the children’s departments in Greater Manchester are underfunded.
Of course, of the additional £1 billion of social care grant, Manchester City Council will have access to an additional £30 million to use on children’s social care in the coming year. As we set out in our manifesto, we are committed to undertaking a review of the care system that will allow us to go even further and to make sure that all care placements and settings provide children and young people with the support they need.
I understand the review also made recommendations about policing, and of course we will be starting to recruit 6,000 police officers in the coming year.
The Department has regular conversations with the Treasury about all sorts of matters. We are investing £1 billion in social care funding, and £500 million is available to local authorities. I am happy to meet the hon. Lady to discuss that campaign.
The hon. Lady raises an extremely serious and important matter. On 17 February we announced £16.6 million for 75 local authority projects, for the delivery of support to victims of domestic abuse and their children in safe accommodation, helping up to 43,000 survivors. The fund will allow local authorities to maintain existing services until the new duty comes into force in April 2021, subject to the successful passage of the domestic abuse Bill.
Later this afternoon we will discuss the local government finance report, but there will be no true long-term sustainability for any local authority until adult social care has been resolved in this generation. We have heard lots about the Government’s desire to create a consensus on the issue. Where are the proposals so that we can start to discuss them?
The hon. Gentleman is absolutely right that, on top of putting £1 billion a year into social care, we will be bringing forward that long-term plan this year. We of course look forward to those discussions in the weeks and months ahead. I very much hope that a true cross-party consensus can be reached, because we need to resolve this so that everyone has the dignity and security they deserve.