Local Government Finance

Maria Caulfield Excerpts

Thursday 17th December 2015 Commons Chamber

[Greg Clark]

The hon. Gentleman will know more than most that simply looking at central Government grant in an age in which local councils, at their own request and following their own campaign, are increasingly in charge of their own resources, is not the right way to consider the issue. We should look at the total resources available, including the business rate revenues, in respect of which Nottingham and Nottinghamshire authorities are doing very well, rightly attracting more businesses and expanding businesses. That is a buoyant source of income for his city and his county.

[Maria Caulfield (Lewes) (Con)]

As my hon. Friend the Member for Wealden (Nusrat Ghani) said, we met local councils yesterday and we were told that the counties of East Sussex, West Sussex and Surrey are joining together for a devolution bid, called “The three southern counties” bid. Currently the area’s contribution to the Exchequer’s revenue is second only to that of the City of London. Can the Secretary of State inform us what influence, if any, devolution bids such as “The three southern counties” bid will have on today’s funding settlement?

[Greg Clark]

I am grateful to my hon. Friend for her question, and I look forward to the discussions with the council leaders about the devolution deal. Today’s settlement does not include the effects of those deals. One proposal that we will consider is for the earlier retention of business rates. I am delighted that such imaginative proposals have been put forward locally.