Council Funding 2024-09-02

2024-09-02

TAGS
Response quality

Questions & Answers

Q1 Partial Answer
Natasha Irons Lab
Croydon East
Context
The question arises from the financial difficulties faced by local authorities in funding essential public services.
What steps she is taking with local authorities to help ensure that they have adequate resources to fund local services. There can be no way of fixing the foundations of this country without fixing the foundations of local government, so I am pleased to hear that this council—sorry, this Government—are looking to reset the relationship with local councils; as a local councillor, I am stuck in the habit.
Local councils are central to delivering on this Government's missions, and to changing this country for the better, but we know that many of them are on a cliff edge financially, and many of them will be fearful for their budget going forward. We will work in partnership with my hon. Friend. The Department's door is always open to local authorities that need to have conversations.
Assessment & feedback
Specific support measures requested but only general commitment given
Response accuracy
Q2 Partial Answer
Alison Bennett Lib Dem
Mid Sussex
Context
The question is prompted by the English devolution Bill which aims to address the imbalance of power between central government and communities.
Can the Minister explain how the English devolution Bill will reduce local authority budget shortfalls, ensuring that essential council services for the public are protected?
The English devolution Bill is a landmark piece of legislation that will finally address the imbalance of power between this place and communities up and down the country, but it is not in itself the answer. We know that the financial foundations on which it rests are local authorities, which are struggling. That is why we are committed to multi-year funding settlements and fair funding.
Assessment & feedback
Specific measures requested but only general commitment given
Response accuracy
Q3 Partial Answer
Clive Jones Lib Dem
Wokingham
Context
The question stems from a major review of local government funding next year, focusing on the lowest-funded unitary authority in the country: Wokingham.
I understand that there will be a major review of local government funding next year. I represent Wokingham, whose council is the lowest-funded unitary authority per head in the country. Will the review look at the actual needs and costs faced by local authorities, as opposed to the current methodology of allocating funding, which is based on historical data and is disproportionately skewed by simplistic measures of deprivation?
Any fair funding formula of course has to address the range of challenges that local authorities face, whether that is their local tax base, and how much they can realistically generate from their local communities and businesses, or the cost of service delivery and the demand within a local community. We will ensure that the fair funding formula, of which multi-year settlements are a part, is done with that rigour.
Assessment & feedback
Specific review method requested but only general commitment given
Response accuracy
Q4 Partial Answer
Natasha Irons Lab
Croydon East
Context
The question addresses the relationship between central government and local authorities, specifically focusing on support for financially struggling councils.
There can be no way of fixing the foundations of this country without fixing the foundations of local government, so I am pleased to hear that this council—sorry, this Government—are looking to reset the relationship with local councils; as a local councillor, I am stuck in the habit. Will the Minister please outline what specific support will be given to councils that have had to issue section 114 notices, to ensure that they can deliver on this Government's aims throughout the country?
Local councils are central to delivering on this Government's missions, and to changing this country for the better, but we know that many of them are on a cliff edge financially, and many of them will be fearful for their budget going forward. We will work in partnership with my hon. Friend. The Department's door is always open to local authorities that need to have conversations.
Assessment & feedback
Specific support measures requested but only general commitment given
Response accuracy
Q5 Partial Answer
Liam Byrne Lab
Birmingham Hodge Hill and Solihull North
Context
The question involves the speculative estimates of equal pay liabilities affecting council funding in Birmingham, prompting a request for reassessment.
Council funding in Birmingham is inadequate because of a set of sadistic directions based on speculative estimates of equal pay liabilities. No one believes those estimates, not even the lead commissioner, so will the Minister revisit those directions quickly and meet with Birmingham MPs to help us to get them right?
First, we need to reset the relationship between the Westminster Government and local authorities. I have seen far too many examples where the Secretary of State and Ministers have, at this Dispatch Box, hung individual councils out to dry. That is not a relationship of equals at all. I thank the leadership of Birmingham for taking the tough decisions and actions that are needed. This Government will work in partnership with them in a constructive way, as equals, going forward.
Assessment & feedback
Specific request to reconsider directions but only general commitment given
Response accuracy