Local Government Finance

Yasmin Qureshi Excerpts

Wednesday 7th February 2018 Commons Chamber

[Yasmin Qureshi (Bolton South East) (Lab)]

The financing of local authorities and local government has caused problems for many Governments over the years. It arises from the fact that parts of the country with a lot of businesses or a lot of rich people are able to raise quite a lot of money locally for some of the services that have to be provided. However, there are many constituencies and many parts of the country where that is not the case, where there are issues of deprivation and where there are issues that require money, and where local authorities are unable to raise the money from their constituents or from the local area. When national Governments decide how much money to give to different areas, it is therefore important that those issues are properly considered and addressed.

My constituency of Bolton South East is high up on the indices that judge poverty and health and education issues. The mortality rate is higher in my constituency than in the rest of the country. The number of people with a university degree is not in proportion with the rest of the country. The number of people who own their home is not equivalent to the rest of the country. On many issues and in many areas, the local council is not able to fulfil its obligations.

Having said all that, Bolton Council has been run by Labour for many years, and it is regarded as an incredibly sensible and financially prudent council—it has even received four-star ratings in the past. Despite that, there has been a 54% cut to Government funding since 2010. Those cuts are not acceptable. My local council is basically spending all its resources on its statutory obligations such as social care and services for the elderly and the young, including children in care, looked-after children and protected children.

[Mr Dhesi]

Does my hon. Friend agree that austerity just does not work? When we compound cuts to our councils and to the services that our residents so deserve and need with police cuts and cuts to other services, it leads to a bad situation becoming even worse.

[Yasmin Qureshi]

I entirely agree with my hon. Friend. I was going to make this point later, but I will make it now. I am not being party political, but I find it appalling and galling that the Tory councillors of Bolton complain that the council is not doing some of the things it needs to do—the hon. Member for Bolton West (Chris Green), a Conservative, recently complained to the local newspaper that the council has not filled the potholes. Well, the council cannot do those things because its grant has been cut by 54% since 2010. The council has to spend the money it has on vital services such as looking after our elderly and our children.

There is no money left for potholes or for environmental services. In some parts of my constituency young people cause a lot of social nuisance and a lot of problems, such as breaking car windows and breaking people’s doors and windows. The local authority is being blamed for all of that, and people are saying, “You are not doing anything.” The political parties, especially the Conservative opposition, try to put it on the council. But, again, the council does not have the resources. It is doing everything it can. Where it can find some money, it is spending on the local area to try to improve the roads, get street lighting and help look after those communities affected by crime. The council is spending its money, but it does not have enough to give. When the hon. Member for Bolton West complains about things, I always say that he should be going to his own Government and Ministers. He should be asking them for that money. We have had a 54% cut in our budget over the past eight years and they are the people responsible for the situation we are in. He should be going to them asking for that extra money—the same thing applies in respect of policing cuts. Since this Government came to power 30,000 police have been cut—

[Mr Deputy Speaker (Sir Lindsay Hoyle)]

Order. May I help the hon. Lady a little? We did have the police debate before. I presume that as you were going to name the hon. Member for Bolton West (Chris Green) in the way that you have and quote the newspaper, you made him aware that you were going to speak about him. Did you do that? I am just a bit concerned that he has not been notified.

[Yasmin Qureshi]

My apologies, Mr Deputy Speaker. I will let the hon. Gentleman know after this debate that I have referred to him.

Let me get back to the facts. Certain parts of the country need extra resources, and any funding formula that is created must take account of that. Many areas are unable to raise the money that they need and it is a big challenge for local authorities. While I am on my feet, may I ask for some extra money to fix the potholes in Bolton? May I also ask about an application that the council has made in respect of a mill on Crescent Road and a brownfield site being turned into housing? We still have not heard any response from Ministers about whether they are giving permission for building to take place. Finally, on housing, when the Labour Government came to power in 1997 they spent £18 billion on repairing homes. They did that in their first few years in office. So when people say we did not look after the issue of housing, I say that we did. We then also started building homes as well. We need more of those.