Oral Answers to Questions

Steve Reed Excerpts

Tuesday 28th April 2020 Commons Chamber

[Robert Jenrick]

Apologies to the hon. Gentleman for the fact that we did not hear all his question, but I think I understand the point that he was making, which was twofold. First, whether the Government will stand behind local councils for all the covid-related expenditure, to which the answer is absolutely yes. Those things that we asked of local councils in our national response, we will ensure that they get the resources that they need to do.

Secondly, will we ensure that smaller councils, such as district councils, get a fair share of that money to reflect the important work that they are also doing, for example, on rough sleeping? Yes, absolutely; and am I aware that those councils are concerned about loss of income and need to be given assurances that they can be on a stable and sustainable financial footing? Yes, of course I understand that, and we will take action accordingly.

[Steve Reed (Croydon North) (Lab/Co-op)]

May I first echo the Secretary of State’s thanks to everybody working in local government? They are all heroes helping to keep our communities safe. As he is aware, councils are not allowed to go into debt, so if the Government do not keep their promise to fund the full cost of the crisis, councils will be forced to make cuts potentially totalling billions of pounds, which will mean job losses.

Councils say that the additional funding announced so far covers barely a quarter of what is needed; it is not enough. Will he reconfirm the Government’s original promise to fund whatever is necessary in full? If he does not, the frontline heroes we are cheering today will lose their jobs tomorrow.

[Robert Jenrick]

I have been working closely with local councils across the country on a cross-party basis and speaking to them almost every day. The message that I have consistently delivered is that we will fund the brilliant work that they are doing to support the country through the crisis. We have seen that already with the £3.2 billion of additional funding that I announced, plus the other support mechanisms. We will keep under review whether further funding is required, and if it is, we will bring it forward, because we want to back this brilliant sector in all that it is doing.