Local Government Finance (England)

Debate between Tobias Ellwood and Brandon Lewis

Wednesday 13th February 2013 Commons Chamber

[Brandon Lewis]

There is a range of ways in which local authorities can make a choice. This is the key issue: it is about trusting local government, with good local leadership, to make decisions, such as those my hon. Friend outlined, for the benefit of their communities. I will touch on the fairness of the settlement in a few moments.

[Mr Tobias Ellwood (Bournemouth East) (Con)]

Will my hon. Friend give way?

[Brandon Lewis]

I am happy to give way one more time, but then I want to make some progress.

[Mr Ellwood]

I echo the thoughts coming from Government Members, which differ from those on the Opposition Benches. It is possible to balance the budget. It is possible to see increases in fire and police services, as we have seen in Bournemouth borough council. Will he join me in congratulating that council on freezing council tax for the third year in a row?

[Brandon Lewis]

My hon. Friend makes a very good point. There are some really good councils throughout the country, doing really good work in protecting and making the right decisions for their communities and freezing council tax. I congratulate Bournemouth borough council on doing just that.

Councils clearly have a part to play in reducing the deficit. Opposition Members should not kid themselves, residents or us about their position. They would not have done anything different. In fact, their party was planning to make spending cuts of £52 billion by 2014-15—and, given that they have opposed every single saving that the Government have made, they still have £52 billion of cuts to outline. I hope that they will do so today.

Another point that Members should consider, which is relevant to the question from the right hon. Member for Birkenhead (Mr Field), is that this is a fair deal. It is fair to north and south. Manchester, Liverpool, Nottingham and Newcastle all have more spending power per dwelling than the national average. They are all at least £500 better off per household than, for instance, Wokingham in the south-east. The settlement is also fair to all councils, even those that Labour left facing a massive financial cliff edge, such as Great Yarmouth and Pendle. Thanks to the new efficiency support grant, the seven authorities that face the biggest hit to their budgets—Burnley, Barrow-in-Furness, Bolsover, Hyndburn, Hastings, Great Yarmouth and Pendle—will be protected.