HC Deb 15 December 1976 vol 922 cc1508-9
9. Mr. Robin F. Cook

asked the Secretary of State for Scotland if he will make a statement on the rate support grant negotiations.

Mr. Millan

The Government's proposals represent a fair settlement having regard to the difficult economic situation. The House will have an opportunity to discuss them in the forthcoming debate on the Rate Support Grant (Scotland) Order 1976, which was laid before the House on 6th December for approval.

Mr. Cook

Has my right hon. Friend reflected on the Early-Day Motion that has been signed by a clear majority of his Scottish Back Benchers that invites him to reconsider the Order? Has he considered the information given to me in answers last week—namely, that although there is a considerable surplus among local authorities in England, Scottish local authorities are already in deficit? In the light of that, is it realistic to expect them to achieve the same 4 per cent. saving?

Mr. Millan

It is not actually the same 4 per cent. saving. It is 4½ per cent. in England and Wales as compared with 4 per cent. in Scotland. I have considered the motion, but all these matters will be debatable when the Rate Support Grant Order comes before the House. As well as meeting COSLA about the matter, I met representatives of Strathclyde Regional Council only this morning.

Mr. David Steel

Was the right hon. Gentleman able to satisfy the Convention of Scottish Local Authorities on the points raised by the hon. Member for Edinburgh, Central (Mr. Cook)—namely, the difference in treatment between local authorities in England and Wales and those in Scotland? Will he bear in mind the Written Answers that he and his colleague the Secretary of State for Wales gave me on direct financial comparisons between Powys in Wales and the Border Region of Scotland, which are areas similar in character? Will he note the marked difference of treatment that the two areas are receiving at the hands of the Government?

Mr. Millan

I do not think that it is possible to make such comparisons between one local authority area and another. It is necessary to look at the whole picture. The settlement for Scotland is fair in relation to England as well as being fair generally. I shall be willing to answer these points during the forthcoming debate.