Provisional Local Government Finance Settlement

Question

How does the Secretary of State expect families to afford a 5% council tax increase during an unprecedented economic downturn? When will we see the Government’s plan to fix the social care crisis, and how much is being increased for public health grants next year?

Question

The MP thanked the Secretary of State for advance sight of his statement but expressed concern over the vast funding gap local authorities face and criticised the proposal to force councils to hike council tax during a health crisis and economic recession. He highlighted that the proposed 5% increase would disproportionately impact families on average incomes and less wealthy areas, and questioned the absence of a clear plan to address social care issues.

Question

The MP welcomed the £8 billion additional funding given to councils this year but asked for confirmation on what additional support will be available to local leaders in areas facing tier 3 restrictions.

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The MP thanked the Minister for the settlement and questioned whether the forecast assumes all councils will put their council tax up by 5%. He also inquired if the Government would provide extra funding if additional unforeseen costs are incurred.

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The MP thanked the Minister for his work during the pandemic, recognised the fair funding review that acknowledged additional cost of providing services on the Isle of Wight, and asked if the delay due to the pandemic has affected the island's ability to support its residents.

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Will the additional funding for homelessness ensure that councils can continue to provide housing for people with no recourse to public funds? Does the Secretary of State have longer-term plans to support vulnerable households?

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Will the funding announced by the Secretary of State mean that there is no need for Telford and Wrekin Council to increase council tax or make cuts to vital services?

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Can the Secretary of State guarantee that funding available to local authorities now to house all rough sleepers will become a permanent feature of Government policy? Will he introduce legislation to give greater security to those living in private rented accommodation?

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Can the Secretary of State provide further details on when the Government will bring forward proposals for fair funding distribution to local government?

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Can a commitment be made by the Government to provide three or four-year financial settlements for local government into the future?

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When does the Secretary of State plan for reform to local government finance?

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Can my right hon. Friend confirm his intention to maintain the rural services delivery grant next year? Will these principles be incorporated into the fairer funding review?

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Covid-19 costs are expected to leave Bedford Borough Council with a funding gap of nearly £22 million by 2021-22. One councillor described the lack of a fair funding settlement as, “the Government expecting councils to set balanced budgets with both hands tied behind their backs while wearing a blindfold.” When will the Secretary of State realise that, to finally beat the pandemic and keep local economies going, the Government need to fund local authorities properly as promised?

Question

May I welcome my right hon. Friend’s commitment to maintain the rural services delivery grant? Many of these councils have also seen a significant drop in income due to loss of revenue through things such as car parks and other services. Will he lay out what steps he will take to support these councils that have lost significant income during this year?

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I am concerned that the revised housing targets could lead to a 35% increase for Sheffield, potentially causing a north-south divide on green-belt building. Will the Secretary of State confirm that the new target will not be imposed on Sheffield?

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I thank my right hon. Friend for this much-needed further financial support for our local authorities, which lead the local response to covid. Local government staff in Runnymede and Elmbridge borough councils and Surrey County Council have worked tirelessly this year. With Runnymede and Weybridge now entering tier 3 restrictions, will my right hon. Friend join me in thanking those staff for their efforts?

Question

While I welcome any funding for local government, it is not enough. Enfield Council has had £193 million of cuts to funding since 2010. It has spent £64 million in dealing with the covid-19 emergency but received less than half from the Government and not been receiving its fair share of public health funding since 2013. When will the Government level up for Enfield?

Question

At the start of this pandemic, the Government stated that they would provide local authorities with all the support they needed to get through these challenging times. The total amount of additional Government support that Blackpool Council has received since March now stands at over £129 million. Will my right hon. Friend join me in urging those councils to demonstrate restraint and consider value for money from local services?

Question

Council tax increases have become a stealth tax for this Government. Council tax now makes up 60% of core spending in local authorities—up from 49% just five years ago. Does the Secretary of State acknowledge that raising council tax year on year is leaving local authorities with high deprivation further behind?

Question

The additional funding for local authorities like Bromley is very welcome but ongoing upward pressure on adult social care costs causes financial uncertainty. When will we tackle the difficult task of reforming social care funding?

Question

The MP adds his thanks to council staff and councillors for their work during the last year, particularly those at Durham County Council. He highlights the challenge faced by Durham County Council due to its composition of 50% band A properties in council tax bands, limiting its ability to raise large amounts compared with councils in the south. The MP criticises the Government's settlement as punishing northern council taxpayers while rewarding southern ones.

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The MP welcomes the statement but expresses concerns about Labour-controlled Warrington Council's debt of £1.6 billion and its financial management, comparing it to Croydon and Nottingham councils. He calls for a Government inquiry into high levels of council borrowing that risk local services and burden taxpayers.

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The MP questions the Government’s honesty regarding council funding increases, suggesting they are forcing councils to raise council taxes. He asks for support for Cheshire West and Chester Council, which is £1 million in debt despite managing well during the pandemic.

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The MP asks for compensation to Conservative-led Blaby District Council for the loss of the new homes bonus, which amounts to more than £1 million. He requests a specific response on this issue.

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The MP is concerned about the local authority budget increases being based on council tax rises, stating it is inappropriate given current circumstances. She asks for reimbursement of Oldham Council’s £10 million covid-associated deficit.

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The MP thanks her right hon. Friend for council support during the pandemic and raises concerns about high business rates in Kensington, leading to a struggling high street. She asks for a review of business rates.

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The MP discusses the high level of homelessness and child poverty in Newham, highlighting its financial difficulties due to 10 years of cuts and additional £20 million underfunding for covid impacts. She requests assurance that the settlement will address these issues.

Question

Madam Deputy Speaker, may I wish you a happy Christmas? My right hon. Friend knows that we are bidding for the £25 million towns fund to regenerate Harlow. Coupled with the recently announced £50 million Harlow investment fund, does he agree that this regeneration money will completely transform our town and is all the more important given the struggle local businesses have had due to the coronavirus pandemic?

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Would the Secretary of State look again at suspending, even if temporarily, the no recourse to public funds rule? Many constituents on zero-hours contracts are affected by this rule.

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Even with support for councils with outsourced leisure centres, Amber Valley Borough Council’s finances are in a pretty terrible state. Does he believe that the two-tier council system will survive this crisis?

Question

Public health teams have been a key part of the response to the covid crisis. The King’s Fund reports that the public health grant settlement last year was 22% lower per head than it was for 2015-16. How does the Secretary of State plan to address that?

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How can local authorities such as Doncaster Metropolitan Borough Council continue to benefit from local settlement schemes? What steps is his Department taking to encourage them to bid for funding in a timely manner?

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I want to thank all the staff at Gateshead Council for their magnificent job in responding to the pandemic. Can the Secretary of State tell the House what conversations he has had with Cabinet colleagues about public health funding for next year?

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I am grateful to my right hon. Friend for the continued generous financial support offered to our local authorities. Burton has recently submitted its town investment plan, which is a joined-up plan to renew our high street, expand sustainable travel and enhance the skills of our young people. Will my right hon. Friend grant us our £25 million Christmas wish?

Question

I want to ask the Secretary of State about funding for our hard-working firefighters, including the London Fire Brigade. They have seen a 38% cut in central Government funding since 2010 and 11,200 fewer firefighters during the same period. Is it fair that the Government are forcing fire authorities to shoulder these costs?