HL Deb 28 November 1966 vol 278 cc476-7

2.43 p.m.

LORD LEATHERLAND

My Lords, I beg leave to ask the second Question which stands in my name on the Order Paper.

[The Question was as follows:

To ask Her Majesty's Government whether, in the calculation of Exchequer grants to local authorities, particular attention will be paid to the specially heavy burdens that have to be borne by counties with rapidly expanding populations.]

THE PARLIAMENTARY SECRETARY, MINISTRY OF HOUSING AND LOCAL GOVERNMENT (LORD KENNET)

My Lords, practically all Exchequer grants to county councils are calculated either as a percentage of expenditure or by reference to population, so that increases in expenditure and population are accompanied by increases in grants.

LORD LEATHERLAND

My Lords, I thank my noble friend for that reply. But is he aware that many county councils, particularly those in the neighbourhood of London, are apprehensive lest there should be a time lag between the services which they have to provide and the rate revenue which they will draw from the new population and new industry?

LORD KENNET

My Lords, my right honourable friend is aware of the disquiet of the county councils in question on this point. But in so far as this disquiet would tend towards a change in the new, proposed system, he does not believe that it is founded on factors sufficiently strong to indicate that change.

LORD BROOKE OF CUMNOR

My Lords, is this not a strong argument in favour of the Government's accepting the suggestion which we on this side made on the Committee stage of the Local Government Bill? That suggestion was that there should be effective transitional arrangements to protect local authorities, which otherwise may lose heavily from the provisions of that Bill during the next year or two?

LORD KENNET

My Lords, if only the noble Lord during his tenure of office had shown that it was possible to have a transitional arrangement, without having a second transitional arrangement to get out of the problems raised by the first, we should, I think, have been willing to do so this time.