§ Mr. Austin MitchellTo ask the Secretary of State for the Environment when he expects to announce his proposals for paying for local government reorganisation; what plans he has for a charge on the areas involved; and when his proposals for transit and management, redundancy, transfer of undertakings and re-allocation of responsibilities will be ready for announcement.
§ Mr. CurryUnder the arrangements that have been announced, local authorities may finance the initial costs of reorganisation by borrowing. In most cases the savings and receipts that arise from reorganisation should be sufficient to pay back the borrowings and interest: there need be no burden on the council taxpayer. We are currently considering advice from the Staff Commission on redundancy and transfer arrangements and will make an announcement as soon as we have reached a conclusion.