Standard Rateable Value (Hansard, 17 July 1978)

§ Mr. Michael Morris
asked the Secretary of State for the Environment what consultations were held with local authorities over the setting of the standard rateable value for the 1978–79 rate support grant.

§ Mr. Guy Barnett
The local authority associations were consulted on the level of relevant expenditure, the ratio of resources element to needs element and 67W the assumption to be used on the uses of balances, and the rate of inflation. Except for the grant percentage these are all the main determinants in the calculation of the national standard rateable value.

§ Mr. Michael Morris
asked the Secretary of State for the Environment what action the Government proposes to take to ensure that local authorities will not lose revenue from the resources element grant because of Government action in setting the standard rateable value too high.

§ Mr. Guy Barnett
Although individual authorities will receive less resources grant than they initially expected in 1978–79, there will be no overall loss of grant. The full amount voted by Parliament will

Change in current expenditure over previous year envisaged in R.S.G. settlement Actual change in current expenditure over previous year Difference between actual current expenditure and the level envisaged in the R.S.G. settlement^*

(1) (2) (3)

per cent. per cent. per cent.

1974–75 … … … … +3.8 +9.4 +4.0

1975–76 … … … … +3.5 +4.8 +1.7

1976–77 … … … … +0.1 -0.4 -0.6

1977–78 … … … … -1.6 -0.2† -1.7†

1978–79 … … … … +1.1 — —

^* This should not be equated with the difference between columns (1) and (2) as the estimates of the level of spending in the previous year used as the base for the forecasts in column (1) may have been subsequently revised.

† Provisional estimate made in advance of comprehensive outturn information.

§ Mr. Michael Morris
asked the Secretary of State for the Environment what is the total revenue expenditure of local authorities in England and Wales for the latest available year; and what proportion of the expenditure is met from (a) grants, (b) rates, (c) charges and (d) other revenues.

§ Mr. Guy Barnett
The latest comprehensive information is as follows:

Revenue accounts^* for the financial year ending 31st March 1977

million

Total revenue expenditure† £ 4,708

Proportion met from

per cent.

(a) Government grants and subsidies 58.7

(b) Rates 28.2

(c) Sales, fees and charges 15.1

(d) Reduction (+) or increases (-)—in balances -2.0

Notes.

^* Rate fund, housing revenue account and trading services revenue accounts. Transfers to

68W
be paid, distributed in proportion to the initial calculation of entitlements as provided for by the Local Government Act 1974.

					Change in current expenditure over previous year envisaged in R.S.G. settlement	Actual change in current expenditure over previous year	Difference between actual current expenditure and the level envisaged in the R.S.G. settlement^*
					(1)	(2)	(3)
					per cent.	per cent.	per cent.
1974–75	…	…	…	…	+3.8	+9.4	+4.0
1975–76	…	…	…	…	+3.5	+4.8	+1.7
1976–77	…	…	…	…	+0.1	-0.4	-0.6
1977–78	…	…	…	…	-1.6	-0.2†	-1.7†
1978–79	…	…	…	…	+1.1	—	—
^* This should not be equated with the difference between columns (1) and (2) as the estimates of the level of spending in the previous year used as the base for the forecasts in column (1) may have been subsequently revised.
† Provisional estimate made in advance of comprehensive outturn information.

Revenue accounts^* for the financial year ending 31st March 1977
million
Total revenue expenditure†	£ 4,708

	per cent.
(a) Government grants and subsidies	58.7
(b) Rates	28.2
(c) Sales, fees and charges	15.1
(d) Reduction (+) or increases (-)—in balances	-2.0
Notes.
^* Rate fund, housing revenue account and trading services revenue accounts. Transfers to