HC Deb 24 January 1984 vol 52 cc529-36W
Mr. McTaggart

asked the Secretary of State for Scotland if he will publish in the Official Report the amounts by which local authority spending in Scotland was in excess of Government expenditure guidelines in each year since 1976–77 and the amounts by which he and his predecessor reduced rate support grant to Scottish local authorities on each of these occasions.

Mr. Ancram

The information is set out in the following table. For the years 1976–77 to 1981–82 the budget excess figures are expressed at the price bases of the annual rate support grant settlements. In addition, in 1981–82 rate support grant payable to three authorities was reduced by £31 million in total under the selective action powers contained in section 5 of the Local Government (Scotland) Act 1966.

Budget excess over relevant expenditure provision General abatement of rate support grant
£ million £ million
1976–77 45 (November 1975 prices) 5
1977–78 2 (November 1976 prices)
1978–79 42 (November 1977 prices)
1979–80 49 (November 1978 prices) 36.5
1980–81 76 (November 1979 prices) 50

Mr. Whitney

[pursuant to his reply, 20 December 1983, c. 202]: The following is the information:

Budget excess over relevant expenditure provision General abatement of rate support grant
£ million £ million
1981–82 184 (November 1980 prices) 27
1982–83 203 (Cash) 27
1983–84 121 (Cash) 45

Notes:

  1. (1) The grant reduction of £50 million determined in 1980–81 was spread over three years: 1980–81—£15 million, 1981–82—U0 million, and 1982–83—£15 million.
  2. (2) For all years except 1983–84 the total of guidelines was the same as the total of relevant expenditure provision. In 1983–84 guidelines excluded the sum of £124 million which formed part of the overall provision but which was not allocated to services and guidelines. The level of excess over guidelines was therefore £245 million.

Mr. McTaggart

asked the Secretary of State for Scotland if he will publish in the Official Report the local authorities whose (a) planned expenditure and (b) outturn expenditure was in excess of the Government expenditure guidelines issued to them in each year since 1976–77; and if he will provide details of how much the spending of each of those authorities was in excess of these guidelines.

Mr. Ancram

Before cash planning was introduced for 1982–83, guidelines were issued at the price bases of the annual rate support grant settlements and are not therefore directly comparable with the eventual outturn. Information for 1982–83 and 1983–84, for which the figures are in cash, is set out in the table, with the amount by which spending in 1982–83 exceeded guidelines.

1982–83 1983–84
Guideline

£000

Budget

£000

Final/Near Final Outturn

£000

Excess at Outturn

£000

Guideline

£000

Budget

£000

Regional Councils
Borders 42,000 42,440 42,000 44,520 44,520
Central 102,750 109,190 106,820 4,070 108,610 117,666
Dumfries and Galloway 57,000 56,980 55,388 -1,612 60,420 60,420
Fife 127,500 135,310 135,801 8,301 135,150 145,403
Grampian 181,500 183,160 180,087 -1,413 191,310 196,537
Highland 85,000 95,700 94,098 9,098 92,370 102,016
Lothian 295,000 361,570 325,489 30,489 305,450 345,289
Strathclyde 1,051,750 1,103,480 1,103,412 51,662 1,077,420 1,160,199
Tayside 156,000 167,900 160,849 4,849 165,060 176,249
All Regions 2,098,500 2,255.730 2,203,944 105,444 2,180,310 2,348,299
Islands Councils
Orkney 10,920 14,060 13,214 2,294 11,580 11,984
Shetland 13,000 23,390 20,450 7,450 15,860 23,064
Western Isles 18,380 20,840 21,218 2,838 19,210 22,559
All Islands 42,300 58,290 54,882 12,582 46,650 57,607
District Councils
Borders
Berwickshire 700 710 729 29 700 833
Ettrick and Lauderdale 1,200 1,370 1,287 87 1,200 1,574
Roxburgh 1,460 1,520 1,556 96 1,460 1,749
Tweeddale 580 550 506 -74 580 598
Central
Clackmannan 2,680 2,850 2,628 -52 2,680 3,038
Falkirk 8,690 9,140 8,280 -410 8,690 9,408
Stirling 4,580 6,690 5,786 1,206 4,580 5,929
Dumfries and Galloway
Annandale and Eskdale 1,260 1,320 1,283 23 1,260 1,398
Nithsdale 2,070 2,070 2,067 -3 2,070 2,296
Stewartry 820 870 816 -4 820 948
Wigtown 930 1,020 897 -33 930 1,141
Fife
Dunfermline 5,780 6,700 6,203 423 5,780 7,511
Kirkcaldy 8,360 9,360 8,578 218 8,360 10,782
North East Fife 3,670 3,830 3,891 221 3,670 4,127
Grampian
Aberdeen 11,690 13,980 11,643 -47 11,690 15,520
Banff and Buchan 3,480 3,480 3,171 -309 3,470 3,785
Gordon 2,880 2,880 2,352 -528 2,880 2,878
Kincardine and Deeside 1,370 1,420 1,313 -57 1,370 1,550
Moray 4,060 4,060 3,718 -342 4,060 4,481
Highland
Badenoch and Strathspey 370 420 409 39 370 469
Caithness 1,140 1,140 998 -142 1,140 1,158
Inverness 2,620 2,940 2,880 260 2,620 3,163
Lochaber 820 960 850 30 820 934
Nairn 430 390 374 -56 430 461
Ross and Cromarty 1,730 1,780 1,587 -143 1,730 1,810
Skye and Lochalsh 340 390 410 70 340 435
Sutherland 570 700 601 31 570 731
Lothian
East Lothian 4,730 5,090 4,734 4 4,730 5,465
Edinburgh 28,700 30,700 29,787 1,087 28,700 33,414
Midlothian 4,860 4,890 4,550 -310 4,860 5,568
West Lothian 6,040 7,050 6,925 885 6,040 7,604
Strathclyde
Argyll and Bute 5,120 5,920 6,148 1,028 5,120 6,581
Bearsden and Milngavie 2,190 2,580 2,189 -1 2,190 2,462
Clydebank 3,580 3,820 3,915 335 3,580 4,354
Clydesdale 3,020 3,610 3,245 225 3,020 3,749
Cumbernauld and Kilsyth 3,290 3,700 3,543 253 3,290 3,986
Cumnock and Doon Valley 2,140 2,650 2,406 266 2,140 2,776
Cunninghame 8,410 8,670 8,559 149 8,410 9,260
Dumbarton 4,830 5,430 4,947 117 4,830 5,765
East Kilbride 4,870 5,590 5,328 458 4,870 6,130

1982–83 1983–84
Guideline

£000

Budget

£000

Final/Near Final Outturn

£000

Excess at Outturn

£000

Guideline

£000

Budget

£000

Eastwood 2,830 3,100 2,940 110 2,830 3,185
Glasgow 69,210 77,750 76,368 7,158 66,340 90,564
Hamilton 5,710 6,560 6,393 683 5,710 6,746
Inverclyde 6,120 5,940 6,065 -55 6,100 6,291
Kilmarnock and Loudoun 4,610 5,080 4,708 98 4,610 5,645
Kyle and Carrick 7,390 7,870 7,748 358 7,390 8,772
Monklands 5,960 6,710 5,927 -33 5,950 7,229
Motherwell 8,510 8,900 7,773 -737 8,510 9,288
Renfrew 14,650 16,400 15,758 1,108 14,580 17,748
Strathkelvin 5,050 5,760 5,578 528 5,050 6,180
Tayside
Angus 4,680 5,020 4,734 54 4,680 5,429
Dundee 11,410 12,020 11,120 -290 11,340 12,772
Perth and Kinross 5,450 5,660 5,335 -115 5,450 6,416
All Districts 307,640 339,010 321,536 13,896 304,590 372,086
All Scotland 2,448,440 2,653,030 2,580,362 131,922 2,531,550 2,777,992

Notes:

  1. 1. All figures are on the basis of expenditure relevant for rate support grant purposes excluding loan charges (ie current expenditure plus capital from revenue, less interest receipts).
  2. 2. Guidelines and budgets for 1983–84 exclude expenditure on the urban programme.
  3. 3. Budget estimates for 1982–83 are those originally submitted by authorities after adjustments to (1) the figures for islands authorities and Highland Regional Council to reflect changes in the joint board expenditure on Police and Fire, (2) the figure for Edinburgh District Council in respect of slaughterhouse loan charges and (3) the figure for Falkirk District Council in respect of a reclassification of expenditure.
  4. 4. Budget estimates for 1983–84 are those originally submitted by authorities after adjustments to (1) the figures for island authorities to reflect changes in the joint board expenditure on Police and Fire, (2) the figure for Edinburgh District Council in respect of slaughterhouse loan charges and (3) the figure for Glasgow District Council in respect of a reclassification of £8 million, mainly to loan charges.

Mr. McTaggart

asked the Secretary of State for Scotland if he will publish in the Official Report the local authorities against whom he has taken selective action, using his powers under (a) the Local Government (Miscellaneous Provisions) (Scotland) Act 1981 and (b) the Local Government and Planning (Scotland) Act 1982; and if he will provide details of this action.

Mr. Ancram

My right hon. Friend the Secretary of State for Scotland first took selective action in 1981–82, using his powers under section 5 of the Local Government (Scotland) Act 1966, as amended by the Local Government (Miscellaneous Provisions) (Scotland) Act 1981. The seven councils against whom action was taken are as follows, together with a summary of the action:

Council Action taken
Lothian Regional Council Grant reduced by £30 million.
Dundee District Council Grant reduced by £0.975 million.
Stirling District Council Grant reduced by £0 .7 million.
Cumnock & Doon Valley, Renfrew, East Lothian and Dumbarton District Councils All four councils undertook to reduce expenditure (totalling about £2 million) and proposals for grant reductions were not proceeded with. Renfrew District Council voluntarily reduced its rate by 2p.

In 1982–83 action was taken against two authorities, Lothian regional council and Stirling district council, under the same powers. Lothian agreed to make a voluntary expenditure reduction of £30.7 million and to reduce its rate by 16p. Following the approval of a report to Parliament, which empowered the Secretary of State to reduce rate support grant payable to the authority by £1.2 million, Stirling district council agreed to make an expenditure reduction of £832,000 and to reduce its rate by 4p. No further action was taken in either case.

In 1983–84 under the powers in the Local Government and Planning (Scotland) Act 1982, enabling him to take selective action requiring a rate reduction, the Secretary of State initiated action against five councils. Following consideration of their representations no further action was taken against Shetland Islands Council. Reports were presented to Parliament in the other four cases and the following rate reductions were approved and subsequently made:

Council Rate reduction
Lothian Regional Council 6p
Glasgow District Council 3p
Kirkcaldy District Council 2p
Stirling District Council 2p

Mr. McTaggart

asked the Secretary of State for Scotland what is the basis upon which he calculates the expenditure guidelines which are issued to individual local authorities in Scotland.

Mr. Ancram

The basis upon which the current expenditure guidelines for 1984–85 were calculated is explained in Scottish Office finance circular 13/1983 dated 18 November 1983. A copy of the circular has been placed in the Library of the House.

Mr. McTaggart

asked the Secretary of State for Scotland what percentage of local authority revenue expenditure for (a) Glasgow district council, (b) Edinburgh district council, (c) Dundee district council, (d) Aberdeen district council and (e) Scotland as a whole has been met by central Government funds in each year since 1979–80; and what are his estimates for 1984–85.

Mr. Ancram

The table sets out the information in the budgets of local authorities based on the Chartered Institute of Public Finance and Accountancy Publication "Rating Review":

Glasgow Edinburgh Dundee Aberdeen Scotland
per cent per cent per cent per cent per cent
1979–80 40.6 32.2 32.7 40.9 58.2
1980–81 39.9 32.3 35.5 36.6 57.8
1981–82 34.5 25.4 28.1 32.9 53.6
1982–83 33.9 20.4 22.3 29.4 51.5
1983–84 29.0 17.0 17.4 22.1 49.8

Notes:

  1. 1. For the purpose of this Question. revenue expenditure is relevant expenditure for rate support grant purposes, including loan charges, total expenditure on the housing revenue account and rate fund contributions other than to the housing revenue account.
  2. 2. Government grants are specific revenue grants, needs and resources elements of rate support grants and housing support grants. In their budgets, Edinburgh and Dundee assumed no income from housing support grant in the year 1983–84. Edinburgh and Aberdeen did not qualify for resources element of rate support grant in the years from 1980–81.
  3. 3. Estimates for 1984–85 are not at present available.

Mr. McTaggart

asked the Secretary of State for Scotland what has been the expenditure on services in Glasgow district in each year since 1979–80, at November 1983 prices; and what are the figures expressed per head of population.

Mr. Ancram

Figures for total expenditure per head of population by Glasgow district council, excluding loan charges, on services relevant for rate support grant since 1979–80 are as follows. Figures have been expressed at November 1982 prices as factors to revalue expenditure to November 1983 prices are not yet available.

Year Total Expenditure Expenditure per head
£ million £
1979–80 80.43 101.26
1980–81 80.26 102.67
1981–82 73.81 96.17
1982–83 *79.76 104.82

Year RSO settlement provision for relevant expenditure (excluding loan charges) Loan Charges Total Relevant Expenditure
£ million £ million £ million
1978–79 1,269.2 (at November 1977 prices) 247.9 1,517.1
1979–80 1,471.5 (at November 1978 prices) 273.2 1,744.7
1980–81 1,682.8 (at November 1979 prices) 327.1 2,009.9
1981–82 2,053.4 (at November 1980 prices) 405.1 2,458.5
1982–83 2,447.5 (cash) 450.1 2,897.6
1983–84 2,677.5 (cash) 440.6 3,118.1
1984–85 2,753.0 (cash) 452.9 3,205.9

Notes:

  1. (1) Before the introduction of cash planning for 1982–83, the Government's provision for relevant expenditure in each year was expressed on the basis of the level of prices prevailing in the preceding November.
  2. (2) The provision for relevant expenditure in 1984–85 is as proposed in the Report on the Rate Support Grant (Scotland) Order 1984 (H.C. 171 of the 1983–84 session).

Mr. McTaggart

asked the Secretary of State for Scotland if he will publish in the Official Report the percentage increases in (a) wage costs and (b) other costs which were assumed in the rate support grant settlements for Scottish local authorities in each year since 1979 and the actual rate of inflation in each of these years.

Mr. Ancram

The assumptions underlying the cash limits on additional rate support grant payable towards

* Provisional outturn. Although final outturn for 1982–83 is available in cash, information on expenditure on services from which fixed price base figures are derived rests on provisional outturn data.

Mr. McTaggart

asked the Secretary of State for Scotland what has been the expenditure on services by local authorities in Scotland in each year since 1979–80, at November 1983 prices; and what are the figures expressed per head of population.

Mr. Ancram

Figures for total expenditure and expenditure per head of population, excluding loan charges on services relevant for rate support grant since 1979–80 are as follows. Figures have been expressed at November 1982 prices as factors to revalue expenditure to November 1983 prices are not yet available.

Year Total expenditure Expenditure per head
(£m) (£m)
1979–80 2,588.30 500.93
1980–81 2,629.99 510.93
1981–82 2,590.63 503.08
1982–83* 2,609.49 505.07
* Provisional outturn. Although final/near final outturn totals for 1982–83 are available in cash on an individual authority basis, information on expenditure on services from which fixed price base figures are derived, rests on provisional outturn data.

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