Commons Sense

House of Commons · Ministers' Questions

Local Authorities: Funding

Monday 5 October 2020 · 4 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 2 Not answered 0

Key points

  • Tony Lloyd questioned the adequacy of Government funding for local authorities, citing Rochdale council's 200 million loss in cuts and a potential 20 million shortfall this year.
  • The Minister responded that Rochdale Borough Council received a 12 million increase this year and has received 93 million in total support throughout the pandemic.
  • Clive Betts inquired about the adequacy of Government funding for local authorities, noting similar financial pressures faced by Rochdale council.

Topics (select to filter)

Questions & Answers

Q1 Tony Lloyd Lab
Local Government
Context

The question arises from concerns about the adequacy of government funding provided to local councils amidst increased spending pressures due to the pandemic.

Question

What recent assessment has been made of the adequacy of Government funding for local authorities, given that Rochdale council alone lost £200 million in cuts and may be short by £20 million this year?

Answer from Luke Hall

The hon. Gentleman knows Rochdale Borough Council received a £12 million increase this year and has received £93 million in total support throughout the pandemic. He is encouraged to contact my Department regarding any concerns about financial settlements or situations.

Partly answered

Not addressed: The questioner asked how vulnerable populations will be protected, but the answer focused on general funding increases and encouragement for contacting the department without specifics on protections for vulnerable groups.

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Q2 Tony Lloyd Lab
Local Government
Context

The question arises from a claim that the government broke its promise to fund councils for pandemic costs, leading to an estimated £3 billion in cuts.

Question

Councils face in-year cuts of around £3 billion due to broken promises by the Secretary of State regarding full funding for pandemic-related spending pressures. Which services does the Minister expect councils to cut to address these gaps?

Answer from Luke Hall

The local government finance settlement saw a £3.1 billion increase in spending pressures for covid, supported by £4.8 billion including un-ringfenced funding. The hon. Gentleman is accused of talking down council abilities during this crisis.

Not addressed: The questioner asked which services would be cut due to the funding gap but was met with criticism and a reiteration of general support figures without addressing specifics about cuts or service impacts.

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Q3 Steve Reed Labour (Co-op) Streatham and Croydon North
Community Security Mental Health Local Government
Context

The question arises from the lack of compensation for councils that operate leisure services at arm's length, leading to significant financial loss like Sheffield's over £10 million.

Question

Could I say that Government help with council funding gaps is welcome but does not cover those operating leisure services separately. Since August and September letters were sent about this issue without response, what update can be given on the matter?

Answer from Luke Hall

We recognise leisure centres' role in community safety and mental health. A further package of support is being worked on with DCMS, and the Minister is happy to meet Sheffield MPs to discuss.

Answered
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Q4 Clive Betts Lab Sheffield South East
Local Government
Context

The question arises from concerns about the adequacy of government support for local authorities facing significant spending pressures and potential service cuts.

Question

What recent assessment has been made of the adequacy of Government funding for local authorities, given that Rochdale council alone lost £200 million in cuts and may be short by £20 million this year?

Answer from Luke Hall

We have provided £4.8 billion in additional funding for spending pressures, including un-ringfenced funds and a core spending power increase of over £2.9 billion this financial year.

Partly answered

Not addressed: The questioner asked about vulnerable populations suffering due to inadequate funding but the answer focused on general funding increases without addressing specific protections for vulnerable groups.

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