§ 32. Mr. Rossasked the Secretary of State for Scotland if he will set up a committee to report on the problem of financing local government expenditure.
§ Mr. J. N. BrowneAs was stated in answer to my right hon. Friend the Member for Glasgow, Kelvingrove (Mr. Elliot) on 16th June, the Government intend to review the method of determining the equalisation grant in Scotland at once in consultation with the associations of local authorities.
§ Mr. RossDoes not the Joint Under-Secretary realise that all these administrative refinements are as nothing at all and quite trivial when compared with this increasing burden of finance? What concerns the local authorities at the present time is where this money is to come from, and the increasing of the rates in Scotland is so heartbreaking that it just cannot go on.
§ Mr. BrowneI do not know that I should call the implementation of the proposals of the Sorn Report administrative refinements. I think the hon. Gentleman should realise that that goes too far.
§ Mr. StokesMay I ask the hon. Gentleman whether, bearing in mind the fact that all wealth comes from the application of labour to the land, he will not exclude from his examination the rating of site values as a means of increasing local revenues, which is the obvious way out of the difficulty?
§ Mr. RossSurely the Minister realises that the Report of the Sorn Committee, which the House has not yet discussed, does no more than spread the burden? [Interruption.] It may be very difficult for English hon. Members to understand Scottish accents. Surely, the Minister realises that all that Report does is to propose a different spread of the burden?
§ Mr. BrowneThe basic situation may be changed by the implementation of the Sorn Report, and there is very little point in having an inquiry immediately.
§ Mr. StokesMay I have an answer to my Question?
§ Mr. BrowneYes, Sir; I have taken note of what the right hon. Gentleman said.