§ 119. Mr. Arthur Lewis
asked the Secretary of State for the Environment whether, in view of concern in the Greater London area at the level of rate increases, he will take special action to increase Government rate contributions to local authorities in the area.
§ Mr. Graham Page
The total of Exchequer grants was fixed in the Rate Support Grant Order which was approved by the House on 10th December, 1970. This provides for 57½ per cent. of local authority relevant expenditure in 1971–72 to be met by grant. The rate to be levied by each authority is a matter to be decided in the light of local circumstances, and I have noted, for example, that the G.L.C. recommended rate makes substantial provision for capital expenditure from revenue and for the building up of reserves.