HC Deb 08 February 1985 vol 72 cc723-4W
Mr. Nicholas Brown

asked the Secretary of State for the Environment if he will estimate how much Government grant Newcastle city council would receive if no penalties were levied upon it under the new system of distribution; and what would be the consequent rate rise on a standstill budget.

Mr. Waldegrave

For a budget of £138 the estimated grant before holdback for 1985–86 is £33,706,000. Rate poundage changes depend on the city council's decision on use of reserves.

Mr. Nicholas Brown

asked the Secretary of State for the Environment if he will estimate how much grant aid the city of Newcastle upon Tyne would receive if the Government paid grant to the level of the city's grant-related expenditure, without penalties or negative grant; and, on a standstill budget, what rate rise that would necessitate.

Mr. Waldegrave

If grant were paid in 1985–86 on the assumption that all authorities spent at the level of their grant related expenditure assessment, it is estimated that the city of Newcastle's grant would be £39.421,000 before holdback. Rate poundage changes depend on the city council's decision on use of reserves.

Mr. Nicholas Brown

asked the Secretary of State for the Environment if he will estimate how much grant aid, in cash terms, the city of Newcastle upon Tyne would receive if the Government provided the same level of support as in 1980–81; and by what percentage the city then could reduce its rates.

Mr. Waldegrave

If the 1985–86 percentage of total estimated relevant expenditure met by aggregate exchequer grant had been the same as in 1980–81, it is estimated that the city of Newcastle's grant in 1985–86 would have been £21,756,000 after holdback for a budget of £138 million. Rate poundage changes depend on the city council's decision on use of reserves.

Mr. Nicholas Brown

asked the Secretary of State for the Environment if he will estimate the rate increase required by the city of Newcastle upon Tyne to maintain a standstill budget of £138 million; and what would be the amount of central Government grant contribution in cash terms.

Mr. Waldegrave

For a budget of £138 million, the estimated grant after holdback for 1985–86 is £6,106,000. Rate poundage changes depend on the city council's decision on use of reserves.

Mr. Nicholas Brown

asked the Secretary of State for the Environment what was the original rate support grant estimate for the current financial year for the city of Newcastle upon Tyne; and what the next year's rate increase would have been, on a standstill budget, had the original grant estimate been adhered to.

Mr. Waldegrave

The original grant estimate for 1984–85 was £40,327,000. This related to a budget equal to target of £122,256,000. Rate poundage changes depend on the city council's decision on use of reserves.