HC Deb 28 March 1973 vol 853 cc1283-6
9. Mr. Arthur Jones

asked the Secretary of State for the Environment if he will make a further statement on his monitoring of local authority rate levels for 1973–74; how many submissions he has had; and if he will set out in the OFFICIAL REPORT those authorities which have subsequently reduced the original figures.

Mr. Graham Page

1,235 local authorities in England have submitted information about their proposals for expenditure and rates or precepts in 1973–74. Reductions amounting to £9.7 million have so far been notified by 146 authorities.

licensing authorities when they grant these operating licences, and will he do his best to publicise the fact that local authorities, trade unions, trade associations and the police have power to object? Better still, will he do his best to increase the activities, scope and ownership of the National Freight Corporation?

Mr. Peyton

The hon. Member has piled a lot of questions together, but I am grateful to him for his aid in giving publicity to the right of objection to licences. Indeed, I agree with him that the industry ought to help in this matter. There have been only 46 objections to applications in three years—22 from the Road Haulage Association, none at all from the Freight Transport Haulage Association, and none from the trade unions. I would hope that there would be more objections.

Sir R. Cary

In the years immediately ahead will there not be a great shortage of competent heavy-duty vehicle drivers, and is not this an area where one of the Government's training schemes has a useful part to play?

Mr. Peyton

I agree that a shortage of such drivers is likely, and it is a matter of considerable concern both for the Government and for industry.

Following are the figures:

Mr. Jones

Does my right hon. Friend consider the monitoring of rates a success story? Does he consider it to be a once-and-for-all exercise?

Mr. Page

I hope it will be a once-for-all exercise, although we have taken powers to apply it next year. I think it has been a success, not necessarily in the amount of £9.7 million—although that is a substantial amount of savings—but by reason of the co-operation between the Government and local authorities in considering the rate demands. In those cases where I have had conferences with the local authorities we have come to a very much better understanding through talking across the table.

Mr. Kaufman

Why docs the Minister pretend that this monitoring is other than a cynical farce, since in the case of the city of Manchester his Department, having been provided with ample information a long time before, telephoned one minute before the meeting of the rate fixing committee, queried £2 million expenditure, which the Department ought to have known about anyway, and, after a further delay, admitted that every penny of Manchester's expenditure was fully justified, though it did not mean to give any further help in dealing with the problems which the Department forces upon us?

Mr. Page

Perhaps the hon. Gentleman will get his facts correct. It was 20 minutes before the meeting, not one minute, and the corporation admitted that its mathematics were wrong, and put right the £2 million figure later.

Mr. James Lamond

Will the Minister satisfy himself that any savings that have been achieved have not been achieved at the expense of the social services provided by councils? Would not he have been better employed in asking his right hon. Friend the Chancellor of the Exchequer to give him some of the £110 million that he gave away when he reduced the tax on children's sweets, to help local authorities not only maintain but expand those services for which there is such a desperate need?

Mr. Page

No. I think that in all the cases—certainly those on which I have had personal discussions—there was no question of the amount of social services. I was not seeking to cut those in any way. Generally, it was a discussion on the amount allowed for inflation.

Mr. Kaufman

On a point of order, Mr. Speaker. In view of the unsatisfactory nature of the reply I beg to give notice that I shall seek an early opportunity of raising the matter on the Adjournment.

14. Mr. Roy Hughes

asked the Secretary of State for the Environment if he contemplates further discussions with the Association of Municipal Corporations on the subject of revaluation of rates and its effect on individual local authorities.

Mr. Graham Page

No, Sir.

Mr. Hughes

Will the Minister accept that many thousands of ratepayers in the county borough of Newport now face a considerable increase in their rate bills, for all that the town received in budgetary relief was just over £11,000? Does not he agree that the Government are now placing local authorities such as mine in an impossible position, through both revaluation and inflation? Does not he further agree that an increased rate bill can only have an inflationary effect, which the Government are allegedly trying to combat?

Mr. Page

All domestic ratepayers benefit by the 50 per cent. greater reduction that we have made in the rate poundage, and those whose fair share of rates is substantially greater than they have been paying previously will have the transitional relief. Certain discussions are taking place with local authority associations on many aspects of local government finance, but not particularly on revaluation.

Mr. Oakes

But has not the Association of Municipal Corporations expressed its dissatisfaotion to the Minister about the formula that he proposes? Is not it true that a great deal of the money will be spent on administrative costs, so complicated is the Government's formula?

Mr. Page

Yes, but the Question asked whether any further discussions were taking place. I am satisfied that the formula is the best that can be provided in the circumstances and that it is giving good relief to those whose rate bill is more this year, by reason of revaluation, than it was last year.