44. Mr. Amoryasked the Minister of Health whether he is aware that the practice of withholding 10 per cent. of grants to local authorities until the district auditor's examination is completed involves local authorities in loss of funds for considerable periods; and whether he will consider instead paying grants in full and deducting any over payments disclosed from subsequent grants.
§ Mr. BlenkinsopThis matter has been fully considered in consultation with the local authorities. My right hon. Friend regrets that he cannot accept the hon. Member's suggestion, but, wherever practicable, payments on account in excess of 90 per cent. are made.
Mr. AmoryWhile I appreciate the convenience of the present arrangements to the hon. Member's Ministry, is he aware that his Ministry have a reputation with local authorities of being very slow payers? Is it possible that his rather excessive caution in this case is due to some fear that local authorities, if paid in full, may abscond?
§ Mr. BlenkinsopI certainly do not accept that implication. I understand that part of the difficulty arises from the length of time taken by some local authorities in making their claims.