HC Deb 27 January 1982 vol 16 cc876-8
7. Mr. Norman Hogg

asked the Secretary of State for Scotland if he will adjust the rate support grant settlement for the next financial year to take account of the cost to local authorities of frost damage to local authority properties.

12. Mr. David Marshall

asked the Secretary of State for Scotland if he will make special financial provision for local authorities which have incurred additional expenditure as a result of adverse weather conditions.

Mr. Rifkind

As my right hon. Friend announced on 12 January, a special grant will be available to Scottish local authorities which have incurred exceptional expenses in dealing with the effects of severe winter weather—mainly the additional costs of snow clearing operations and the repair of damaged roads. A circular will be issued shortly to authorities giving details of the conditions governing assistance. This special assistance will be over and above the grant that the Secretary of State proposes in the Rate Support Grant (Scotland) Order 1982.

Mr. Hogg

I acknowledge that the Government are taking some action, but when Cumbernauld is faced with an extra cost of £200, 000, Strathkelvin and district with an extra cost of £500, 000 and the city of Glasgow with a bill of between £25 million and £35 million, surely the Government recognise that they alone should bear the cost and that none of it should fall on the districts.

Mr. Rifkind

I thank the hon. Gentleman for welcoming the Government's initiative. If he believes that the Government's initiative is insufficient he should remember that the criteria under which aid will be given to local authorities in Scotland is on all fours with the response of the Labour Government when similar problems arose several years ago. We have proposed exactly the same type of help for local authorities. I am sure that the hon. Gentleman will accept that that is a reasonable response by the Government.

Mr. Marshall

Will the Minister confirm that, even after a levy on the rates and 75 per cent. Government assistance, there could be a minimum increase of 6p on Glasgow district council's rate for this one item alone? Does he agree that Government assistance is totally inadequate and that the Government should meet 100 per cent. of the costs?

Mr. Rifkind

It is an extraordinary proposition, which has not been followed by previous Governments, to suggest that 100 per cent. of expenditure should be met by the Government. The weather conditions affecting Glasgow were not significantly different from those affecting other west central Scottish local authorities. If there has been disproportionately greater expenditure in Glasgow, that may be for reasons within the control of Glasgow district council.

Sir Russell Fairgrieve

Will my hon. Friend remind Labour Members that there is no such thing as Government money—only taxpayers' money?

Mr. Rifkind

My hon. Friend does the House a service in educating Labour Members on the realities of life.

Mr. George Robertson

As one of the major costs, especially for district authorities, will be repairs associated with burst pipes, it is remarkable that the Minister has made no mention of any assistance to local authorities in meeting the cost of house repairs. Hamilton district council's assessment of these costs is in excess of £3 million. Are the Government to give no assistance to local authorities to meet these additional costs?

Mr. Rifkind

The present position was stated by the Labour Government. In a circular that they issued in 1976 they advised local authorities to insure themselves against the consequences of excessively inclement weather. Some local authorities have accepted that advice. If others have not, they may have to bear some of the consequences.

Sir Hector Monro

Will my hon. Friend take this opportunity to congratulate the vast number of local authority employees, especially those concerned with the roads, the water boards and the police forces, on the tremendous work that they have done during the past six weeks to make life bearable in Scotland?

Mr. Rifkind

Yes, I have done so already. I am happy to repeat from the Dispatch Box the unqualified praise of all who experienced the superb contribution made by local authority employees.

Mr. Dewar

Is the Minister seriously saying that there will be no Government help to local authorities for the formidable costs that they will incur in repairing the fabric of housing and in dealing with burst pipes? That is a totally unsatisfactory response, which cannot be allowed to continue, especially when local government finance is being mercilessly squeezed by the Government's policies, at the diktat of the Treasury. Will he reconsider what help he can give to avoid a disastrous situation in the west of Scotland and, no doubt, in all other parts of Scotland?

Mr. Rifkind

I have stated the advice that was given and the recommendation that was made by the Labour Government. Scottish local authorities were informed at the time that, if they did not choose to take out insurance, it might be necessary for them to bear some of the consequences. We have received no detailed submissions from the local authorities on the issues to which the hon. Gentleman has referred. We shall have to consider to what extent any damage that was caused might have been covered by insurance. If it could have been covered by insurance and the local authorities failed to insure, we shall have to take that matter into account.

Mr. Hogg

On a point of order, Mr. Speaker. In view of the Minister's hopelessly inadequate reply, I reserve the right to raise this matter on the Adjournment, with your permission.