§ 9. Sir Anthony Meyerasked the Secretary of State for Wales what has been the average increase in rate precepts by county councils in Wales this year.
§ Mr. Nicholas Edwards22.9p, or 13.9 per cent.
§ Sir Anthony MeyerIs my right hon. Friend aware that that percentage would have been considerably higher, most notably in the county of Clwyd, had it not been for the firm way in which he handled the matter? Is he also aware that the present arbitrary and unpredictable methods 600 of allocating Government support by way of rate support grant make it difficult for county councils to plan ahead and that if they cannot plan ahead it becomes correspondingly difficult for them to make economies?
§ Mr. EdwardsBearing that in mind, I hope my hon. Friend will warmly support the measures for improving the system of local government finance that are contained in the consultative document that we have issued. It is because of the shortcomings in the existing system, which we freely acknowledge, that we are making major recommendations for reform.
§ Dr. MarekWill the Secretary of State accept that his continuing policy of draconian grant hold-back and draconian grant penalties for councils which wish to provide proper services for their citizens will lead, certainly in the case of Clywd, to the closure of many primary schools in rural areas and to the county council having to cease providing nursery education in the county? That is the shameful result of his policies.
§ Mr. EdwardsI noticed with interest a report in the Daily Post headed "Too top-heavy with bosses". That article described reports that had been submitted by consultants to the Clywd county council which outlined the types of economies that could be made without leading to the consequences that the hon. Gentleman described. I suspect that, whatever the truth of that newspaper report, it is true that many improvements in efficiency can be made by the county council.
§ Sir Raymond GowerIs my right hon. Friend aware that these huge increases are regarded with horror and dismay by industrialists, business men and small shopkeepers? It is a terrible burden to place on people who work in difficult areas.
§ Mr. EdwardsI wish that my hon. Friend had made that point absolutely clear to members of his own county council, the Labour-led county council, which has increased its rates precept by more than twice the rate of inflation. That is an increase for which I can see no possible jusitification.
§ Mr. Roy HughesBearing in mind the social distress experienced throughout Wales at present—so much directly due to the policies of the Government—does the Secretary of State not realise that this is hardly the time to put our local authorities in a straitjacket? Why does he not accept that they have many additional problems and commitments, which they are trying to handle in a most responsible fashion?
§ Mr. EdwardsThe hon. Gentleman knows perfectly well that this is a generous settlement for Wales, which allows for increases at least at the level of inflation. The people who are in the straitjackets are the unfortunate ratepayers, who are faced with demands which they cannot meet except by getting rid of employees or by increasing charges to their customers. That is the policy being advocated by the Labour Front Bench, and I hope that it is widely noted.