(2 years, 11 months ago)
Lords ChamberThe Government recognise that authorities have differing abilities to generate income from council tax, and the settlement methodology takes these into account when allocating funding. The Government have used grant funding to equalise against the adult social care precept since its introduction. Funding baselines for every authority, whether up north or down south, are determined by an assessment of the relative needs of areas, including measures of deprivation. Indeed, councils in the most deprived areas of the country receive 16% more in core spending power than in the least deprived areas.
My Lords, throughout Cumbria, whether in Barrow, Carlisle, Kendal or the many households in the villages in between, householders feel aggrieved that because of the national framework they are forced to pay more council tax than luxury houses in London. Even the Government must accept that it is grossly unfair. When do they intend to take one small step towards alleviating the problem and help levelling up in Britain?
I am sure the noble Lord is aware of the support that is given. Following the spending review in 2020, local authorities’ core spending power is estimated to have increased by 4.6% in cash terms in 2021-22. This follows the largest real-terms increase in core spending power for a decade at the spending review in 2019. Local authorities, including the ones he mentioned, will have access to £2.2 billion of additional funding in 2021-22 to invest in public services.
The noble Lord is absolutely right. Having clear co-operation on Covid-19 is incredibly important. The UK Government, the Northern Ireland Executive and the Irish Government share the goal of working together to ensure that we take complementary measures to safeguard the health and well-being of UK and Irish citizens.
As noble Lords are aware, between Great Britain and Ireland lies the self-governing British Crown dependency of the Isle of Man. Although its Parliament has total responsibility for Covid-19 matters, will the Minister bear in mind the island’s interests in any relevant joint discussions?
Yes, absolutely. I will take that back to the department. The Isle of Man is part of the common travel area, so we should bear in mind its interests in relation to Ireland and Northern Ireland in tackling this dreadful virus, and we do.