Local Government Finance (England) — House of Commons, 2020-02-24
Topic: Government Operations
Luke Anthony Hall (Conservative, Centre-right): Of course we are very happy to do that. We will be bringing the Bill forward at the earliest possible opportunity, and we are happy to continue to have those discussions Members also touched on the importance of supporting rural communities in the settlement. The rural services delivery grant, at £81 million this coming year is, again, the highest paid out to date. We completely understand the importance of supporting rural communities, which is why in the review of relative need and resources we have proposed the crucial area cost adjustment, which will include an adjustment for the additional service costs associated with sparsity, isolation and market size. All those factors will be accounted for in a robust manner As positive as this settlement is, we are well aware that it does not solve all the complex challenges that councils face or relieve all the financial burdens they are shouldering, but it will help local government to address the pressures that have arisen over time, and it will give us the chance to look at the system again and make long-lasting, far-reaching reforms that will better serve communities up and down the country. Next year, we will deliver those far-reaching reforms: we will publish our devolution White Paper and set out our plans to unleash the potential of every region and to further level up opportunity; we will hold cross-party talks on social care to get this crucial issue right once and for all; we will implement the fair funding review to find a fairer, more up-to-date, more transparent and simpler way of sharing out taxpayers’ money; we will review the future of business rates, involving local government and colleagues in the House every step of the way; and we will look again at how we incentivise councils to build the homes we need Alongside all of this, there will be the spending review, at which we will settle the resources for local government. We intend to return to a multi-year settlement process. There will be different opinions about the way forward on all these matters, but this new and reinvigorated Government will be bolder than ever with our reforms. Deciding the future direction for local government finance will be a collaborative effort, which is why we will shortly consult on projects such as the fair funding review. We are determined to work across party lines to fix the social care challenges we have heard so much about today from Members across the House. I look forward to working with Members, many of whom spoke with eloquence and passion about the importance of solving this matter in a bipartisan spirit, to find a way forward That said, today is not about the fair funding review, the future of business rates or the new homes bonus; it is about giving councils the confidence and stability they need to plan for the year ahead. Today we are voting on next year’s package. I hope that every Member who wants to see local government access this game-changing £2.9 billion; every Member who wants to see this 4.4% real-terms increase in core spending power and £1 billion of new funding for social care; and every Member who wants to give local authorities the certainty and stability they need will vote for the motions tonight Question put and agreed to. Resolved, That the Local Government Finance Report (England) for 2020–21 (HC 68), which was laid before this House on 6 February, be approved. Local Government Finance (England) Resolved, That the Report on Referendums Relating to Council Tax Increases (Alternative Notional Amounts) (England) 2020–21 (HC 69), which was laid before this House on 6 February, be approved.—(David T. C. Davies.) Resolved, That the Report on Referendums Relating to Council Tax Increases (Principles) (England) Report 2020–21 (HC 70), which was laid before this House on 6 February, be approved.—(David T. C. Davies.)