HC Deb 30 July 1980 vol 989 cc1506-7
14. Mr. John Hunt

asked the Secretary of State for the Environment if he will issue a circular to local authorities in respect of the level of car allowances for local government employees.

Mr. King

No, Sir. The rate of car allowances for local government employees is negotiated nationally between the employers and the unions concerned. and is thus a matter for each individual employing authority.

Mr. Hunt

Will my right hon. Friend confirm that the rate per mile for local government employees now stands at the staggering figure of 31.5p, which means, on the basis of a car doing 30 miles to the gallon, that these town hall employees are being reimbursed at the rate of nearly £10 a gallon? How can that be justified? Is it not a further indication that the financing of local government administration is out of control?

Mr. King

The way that my hon. Friend has put the question is somewhat misleading. The rate that he mentions is only at the bottom level, up to 1,000 miles. It falls smartly, in the same scale of cubic capacity, to 8-4p a mile for a car that is being used for more than 9,000 miles in a year. If my hon. Friend has based his question on the letter in The Times, I must tell him that the letter was extremely misleading. This is a matter for local authorities. We want them to negotiate in an effective and responsible way. While they are doing so, it would be helpful if the figures were accurately reported.