§ 46. Mr. Swinglerasked the Minister of Housing and Local Government if he is aware that his refusal to pay lump sum grants towards the costs of the Madeley and Audley sewerage schemes of the Newcastle-under-Lyme Rural District Council compels the council to increase the rate poundage by sixpence; and if, in view of the level of the rates in the rural district, he will reconsider his decision.
§ Mr. PowellNo, Sir.
§ Mr. SwinglerIs the Parliamentary Secretary not aware that when the council originally negotiated these schemes it was understood that lump sum grants would be paid? Is not it grossly unfair to swing upon ratepayers increased borrowing at a higher rate of interest which should be borne by his Department?
§ Mr. PowellIt is not yet clear what burden, if any, will be swung on to ratepayers in this case. Loan sanction in respect of the capital sums concerned has not yet been issued, although the schemes are either complete or almost complete. It may well be, therefore, that no additional burden, or only a very slight one, will have to be borne.
§ Mr. SwinglerIs it not a fact that the hon. Gentleman's Department has notified the council that lump sum grants will not be paid? Is it not, therefore, certain that 28 the council will have to borrow more money than it originally calculated?
§ Mr. PowellThe decision to substitute annual grants for lump sum payments was taken by Parliament without a Division.