HC Deb 08 June 1932 vol 266 cc1928-9
49. Mr. H. WILLIAMS

asked the Chancellor of the Exchequer whether, in view of the increase from £105,302,000 in the year ended 31st March, 1914, to £318,000,000 in the year ended 31st March, 1932, of the expenditure of local authorities in Great Britain borne out of rates and Parliamentary grants he proposes to reconsider the financial relationship of the Exchequer to the local authorities with a view to restricting the expenditure of the Latter?

Major ELLIOT

The Government have the whole question of local authorities' expenditure under careful scrutiny and no opportunity of securing economies will be overlooked, but they doubt whether an alteration of the financial relationship of the Exchequer to the local authorities is in the present circumstances the best way of approach.

Mr. WILLIAMS

Having regard to the fact that this represents the principal source of extravagance, are we not justified in taking steps to secure that local authorities shall make economies in this respect and will the Government force economies on the local authorities by reducing the grants?

Major ELLIOT

It is a question whether it is better done through the financial relationship of the Exchequer to the local authorities, or by means of general policy.

Mr. MACQUISTEN

Is it not inevitable that, if one set of men provide the money and another set of men have the spending of it, there will always be extravagance?