Police Funding Formula — House of Commons, 2016-03-01
Topic: Law and Crime
Keith Anthony Vaz (Labour, Centre-left): I am very pleased that the House has an opportunity to focus on the important issue of the police funding formula. I will set out the background to, and the timeline of, the funding formula review before assessing where the process is now. The fundamental concern of the Home Affairs Committee is: when is the new review going to start I want to thank the members of the Committee, who have unanimously agreed the report—the hon. Members for Louth and Horncastle (Victoria Atkins), for Kingston and Surbiton (James Berry), for Enfield, Southgate (Mr Burrowes), for Wealden (Nusrat Ghani), for North East Hampshire (Mr Jayawardena), for East Worthing and Shoreham (Tim Loughton), and for Cumbernauld, Kilsyth and Kirkintilloch East (Stuart C. McDonald), and my hon. Friends the Members for Bradford West (Naz Shah), for Streatham (Mr Umunna) and for Walsall North (Mr Winnick) The majority of police forces, chief constables, police and crime commissioners and Members of Parliament welcomed the launch of the police funding formula review last year. The manner in which police funding is currently distributed is outdated, inefficient and not fit for purpose. I want to commend the Minister for Policing, Crime and Criminal Justice for taking on this challenge head-on. However, his ambition, which is shared by the whole House, has not been matched by the process When the Home Office launched the public consultation on 21 July 2015, it allowed a period of only eight weeks. After receiving an initial 1,700 responses, it laid out its proposed refinements to the model on 28 October. The second proposal was described as "inadequate"—by, among others, Tony Hogg, the Devon and Cornwall police and crime commissioner—as it gave PCCs and chief constables just three weeks to respond The refined model showed that 11 forces would lose by the changes, while the remaining 32 forces would increase their share. The chief constables and PCCs were puzzled and frustrated about how the sums had been calculated. Eventually, it took Andrew White, the chief executive in the office of the Devon and Cornwall PCC, to purchase the original data, and he wrote to the Home Office on 2 November to inform the Home Office that it had used the wrong data in making its calculations. The whole police service and this House owe a debt of gratitude to Andrew White for his actions. In a letter to me from the permanent secretary, Mark Sedwill has since stated that this error occurred because officials got confused with similar filenames and therefore used the wrong set of data. When the error was discovered, the director general of the crime and policing group at the Home Office, Mary Calam, admitted that she did not understand the significance of the response that she had signed. I am not sure whether that admission was to give us faith in the system or make us question it further. Overnight, police forces across the country had swung from being winners to losers and vice versa. Chief Constable Giles York of Sussex police said that his force went from a £10 million loss to a £2 million gain. Chief Constable Mike Creedon of Derbyshire police said that his force went from a gain of £20 million to a £7 million loss. Chief Constable Simon Cole demonstrated that Leicestershire constabulary was set to lose £700,000 under the old system, but would now lose £2.4 million Subsequently, Mr Speaker granted my urgent question on 19 November 2015 and the process was rightly suspended by the Policing Minister. Again, he should be commended for coming to the Dispatch Box and agreeing that the sums were wrong and that the process had to be halted. I do not want to dwell any further on the history, except to say, as it says in the report, that this was a shambolic end to a poorly managed process that significantly damaged the relationship between the Home Office and its primary stakeholders, the police Currently, police funding is supposedly being given on the basis of a funding formula that has not been operated for a number of years. The formula is over a decade old and is not based on the latest census data, but on the previous census. It is impossible for police forces to calculate it because many of the data are out of date and it does not take into account the modern nature of policing.