Christchurch and East Dorset Councils: Proposed Abolition

Marcus Jones Excerpts

Thursday 1st December 2016 Commons Chamber

[The Parliamentary Under-Secretary of State for Communities and Local Government (Mr Marcus Jones)]

I thank my hon. Friend the Member for Christchurch (Christopher Chope) for securing this important debate on the proposals for reorganising the governance of Dorset. I welcome the opportunity to discuss the issue. My hon. Friend’s interest in these matters is well known. I recognise his long experience of local government and his ministerial experience: back in the 1980s, he was a Minister in a Department that was a predecessor of mine.

Let me say at the outset that what Dorset councils are doing is exactly what councils should be doing. They are looking into how they can deliver better services to the towns, villages and people of Dorset, how they can provide stronger, more efficient and more effective leadership, and how they can generate significant savings to support frontline services. None of that is to say that we have concluded that any of the proposals on which the councils have consulted, and will consult further, are the right ones. What is right is that there should be consultations, discussions and analysis. The councils may then decide that it is right for them to submit a formal proposal for governance change to my right hon. Friend the Secretary of State for his consideration.

At this point, I should add that the nine councils have already submitted a formal proposal to create a combined authority for the area. They would like it to be established by April 2017. They think that it would serve as an effective mechanism enabling them to intensify their collaboration in the provision of economic development, regeneration and transport services throughout their areas. We are considering the proposal, and expect to respond early in the new year.

All this is taking place against a wider canvas of significant change throughout local government. At a time of fiscal constraint, and as the demand for services such as adult care increases, the best of local government is showing how it can improve the effectiveness and efficiency of services as well as driving the economic growth on which the prosperity of places depends, and that is what Dorset councils are doing. The Government strongly believe that local government should be as efficient, effective, transparent and accountable as possible. The right approach to any reform of local government is bottom-up: that is how councils figure out what is right for their areas and come up with locally driven solutions. It is the approach that underpins the provisions that the House considered some 12 months ago in what is now the Cities and Local Government Devolution Act 2016, and it is the approach that we are following for the purposes of both devolution and governance changes.

[Simon Hoare]

Can my hon. Friend confirm that the responses from the councils, when they discuss the consultation and indeed the recommendations, do not have to be unanimous across all nine for a submission to be made to his Department, and can he also confirm—maybe this is rather good news—that unanimity does not need to be delivered between the MPs within the county as well?

[Mr Jones]

Technically, my hon. Friend is right, but our Department is absolutely clear that we want any reforms to be locally driven, and once a local area has its blueprint for any reforms we will listen carefully, and the Secretary of State will decide whether the reforms are acceptable to him.

There are discussions about local government reorganisation across the sector. These include discussions about moving to more unitary structures, as in Dorset, and recently a detailed proposal has been put forward from Buckinghamshire to transform into a single unitary authority. We have also seen the recent research published by the County Councils Network looking at aspects of reorganisation. It has published two reports, which will contribute to discussions and debate about local government reorganisation. These point out financial benefits and savings that it is suggested may be possible if councils choose to unitarise. These reports suggest a saving of between £2 billion and £3 billion over five years net of transition costs, if all 27 county councils became single unitary authorities.

Dorset has told us that the options it is discussing, which include a reduction in the number of local authorities through unitarisation, could generate substantial savings of at least £108 million in the first six years. We are clear that appropriate governance reforms, which is what we want to have, must have the potential to deliver significant benefits, but reform, and in particular reform to include unitarisation, is not always going to be right for every area. It may not be right for Dorset, and it may not be right in Buckinghamshire, and it is certainly not going to be compulsory or imposed where there is no support for it.

The Government remain 100% committed to being open to innovative bottom-up proposals that will improve local services, enhance accountability and deliver financial sustainability. We welcome local government pursuing and discussing these ideas, particularly when done, as in Dorset, collaboratively and constructively.

The assurance I can give my hon. Friend the Member for Christchurch is that if Dorset does come forward with proposals we will consider them very carefully and fully. We will want to see evidence that any proposal submitted offers a better local service, greater value for money and stronger leadership, as well as putting in place a more financially sustainable structure and delivering significant savings.

[Mr Chope]

Will the Minister emphasise the importance of trying to achieve consensus, because there has been a lot of workplace bullying in Christchurch Council and we have seen, perhaps, elements of it in the Chamber this evening? Surely it is wrong that what may be a minority should be oppressed; surely it is important that minority views can be heard?

[Mr Jones]

I thank my hon. Friend, and in making my comments this evening I have made it clear these proposals must be bottom-up, not top-down, and we will certainly listen to views.

In concluding, I assure my hon. Friend once again that we will look very carefully at any proposal Dorset may or may not come up with. Once we receive it, we will study it and speak to those local authorities and to colleagues, because we are absolutely sure that proposals being brought forward should be valuable, but we are also sure that we need to be certain that they are right for local people.

Question put and agreed to.