§ Q5. Mr. Cartwrightasked the Prime Minister if he will pay an official visit to Greenwich.
§ The Prime MinisterI have at present no plans to do so.
§ Mr. CartwrightIs my right hon. Friend aware that if he were to visit Greenwich he could meet members of the Labour group on the local authority, who have already made substantial cuts in their aims and aspirations and in their services to the people and who are willing to co-operate with the Government in maintaining a genuine standstill on spending? Is he also aware, however, that they would make absolutely clear that they cannot accept further cuts which would have a major impact on families in real need?
§ The Prime MinisterI am aware of the situation in Greenwich and of the cooperation extended by the Labour group. What concerns me about local authority expenditure is that when it is necessary to economise many authorities choose to cut services in preference to staff. As the purpose of the staff is to provide the services, I hope that they will keep a proper balance in these matters.
§ Mr. MayhewWould not the Prime Minister, if he addressed the council in Greenwich, have an opportunity of explaining the direct link between the expenditure bonanza during the Government's first 18 months in office, which was the price for their two General Election victories, and the collapse of confidence which has led to the no doubt 2006 inadequate cuts which are about to be announced?
§ The Prime MinisterI should certainly explain that local authority expenditure which qualifies for rate support grant has gone up by about three times in the space of three years. That, alas, is not expenditure over which the Government have direct control. They pay 65 per cent. or some proportion or percentage of it. However, there is no direct control over current expenditure by local authorities. That is undoubtedly part of the source of our difficulties at present.