Oral Answers to Questions

Tony Lloyd Excerpts

Monday 5th October 2020 Commons Chamber

[Tony Lloyd (Rochdale) (Lab)]

What recent assessment he has made of the adequacy of Government funding for local authorities.

[The Minister for Regional Growth and Local Government (Luke Hall)]

We said we would support councils throughout this pandemic, and that is exactly what we are doing. We have provided £4.8 billion in additional funding for spending pressures, including £3.7 billion of un-ringfenced funding. This is in addition to councils’ core spending power rising by over £2.9 billion this financial year, which is the largest year-on-year real-terms increase in a decade.

[Tony Lloyd [V]]

The Minister will know that Rochdale council has lost some £200 million in Government cuts over the last years, and this year it is likely to be £20 million short of money, even with the extra Government funding. The people who will suffer most from this are those dependent on acute services, children’s services and, of course, the elderly and the vulnerable. How does the Minister intend to make sure that they do not suffer?

[Luke Hall]

The hon. Gentleman of course knows that this year’s local government finance settlement saw Rochdale Borough Council receive an increase of £12 million this year, which he did not object to when the finance settlement came through the House in February. More widely, throughout this pandemic we have supported Rochdale with £93 million to local councils, businesses and the local area. If Rochdale council is concerned about its financial settlements or about the financial situation, it should get in contact with my Department at the earliest opportunity. I would say that over half of the £4.8 billion allocated to local authorities has been spent on social care, but I am always happy to discuss it with him further.