§ Mr. Dewarasked the Secretary of State for Scotland what recent discussions he has had with the Convention of Scottish Local Authorities regarding the level of local services in Scotland.
§ The Under-Secretary of State for Scotland (Mr. Malcolm Rifkind)My right hon. Friend discussed with the convention on 20 June the need to bring the level of current expenditure in 1980–81 back to the level assumed in the rate support grant settlement, and gave notice of the need for further reductions in 1980–81. My right hon. Friend has also concluded that he must ask authorities to plan to reduce expenditure in 1981–82 to a level 2 per cent. below the volume assumed in the rate support grant settlement for 1980–81.
§ Mr. DewarDoes the Under-Secretary accept that there will be a great deal of anxiety about the further reductions in public spending because of the rapidly mounting levels of unemployment? Would it not be sensible to take a more flexible view, given the damage that has been done because of the ever-increasing number of people who have been thrown out of work? Will the hon. Gentleman give a categoric assurance that there will not be new legislative powers to inhibit 495 the freedom of local authorities to increase the level of public services by the use of rates?
§ Mr. RifkindThe taking of further legislative powers will depend upon the attitude of local authorities towards a reasonable level of expenditure. If local authorities abide by the figures proposed for 1981–82, it will mean that they will spend more in real terms than they did in 1977–78. That must be taken into account.
§ Mr. AncramDoes my hon. Friend agree that costly experience shows that there is little, if any, connection between the level of local services and manning levels? Does he agree that the appalling statistics of empire building announced yesterday by the Lothian region offer, not hope to the people of that region, but more misery for the wretched ratepayers?
§ Mr. RifkindOne realises that my hon. Friend is correct when one recollects that during the previous Labour Government manpower levels in local authorities in Scotland were reduced dramatically without any noticeable effect on the services to the Scottish public.
§ Mr. MillanWill the Minister take note of the fact that we are utterly opposed to any further cuts in local authority expenditure, whether direct, as announced today, or in the shabby, dishonest way in which the rate support grant has been manipulated by completely phoney and unrealistic cash limits?
§ Mr. RifkindThe right hon. Gentleman has still to explain to the House and the country why dramatic cuts in local authority spending announced by him were acceptable, but those proposed by the present Government are unacceptable.