HC Deb 19 December 2003 vol 416 cc146-7W
Mr. Sheerman

To ask the Deputy Prime Minister what the total change in Government funding for Kirklees Council was in each year since 1997; how much of this total came from revenue from taxation; and how much was targeted on(a) regeneration projects, (b) specific grants for education, (c) social services and (d) direct funds for education not accounted for in the local education authority budget. [144714]

Mr. Raynsford

Tabled as follows are details of revenue grants received by Kirklees Metropolitan Borough Council as part of gross Aggregate External Finance (AEF) between 1996–97 to 2004–05. This does not include the amount raised by the local authority through council tax. Most of the funding is paid as general grant and it is not therefore possible to provide a figure for the amount of this funding which was targeted on specific services. Funding for grants within AEF are paid through local authorities.

Mr. Raynsford

The Government's proposals for the funding of local authority revenue spending in 2004–05 provide for an increase in Government grant of £3.6 billion, which is an increase of 7.1 per cent. over the current financial year on a like for like basis. Additional resources are provided to cover all new responsibilities when local authorities are required to meet.

Over the past seven years, local authorities have received a 30 per cent. real terms increase in grant from Government.

Sir Teddy Taylor

To ask the Deputy Prime Minister if he will make a statement on the procedures adopted to circulate the additional money to local councils announced in the pre-Budget Statement, with particular reference to the allocation to the Southend-on-Sea Unitary Authority.[145354]

Mr. Raynsford

The additional £340 million announced in the pre-Budget Statement was provided to help with the provision of children"s services and liveability issues. It was therefore provided to those authorities that have responsibility for these services. This includes all unitary authorities such as Southend-on-Sea.

As announced on the 11 December 2003 the floor for authorities with education and social services responsibilities was raised from 3.5 per cent. to 4.0 per cent. and the ceiling from 5.8 per cent. to 7.5 per cent. For Shire districts, the floor was raised from 2.2 per cent. to 3.0 per cent.

Without the application of floors and ceilings, Southend-on-Sea would have received £125.829 million, a decrease of 0.5 per cent., before the pre-Budget Statement, and £126.993 million, an increase of 0.4 per cent., after the pre-Budget Statement. These increases are obviously below the floor. However in addition to the floors the Government also announced that no authority would receive a smaller grant increase than the increase in their schools FSS. This increased Southend-on-Sea"s grant above the 4 per cent. floor to £131.519 million before the pre-Budget Statement. The £4,142 increase in grant received by Southend-on-Sea following the pre-Budget Statement was a consequence of the technical adjustment to the base position for floors and ceilings made for new capital investment.

Mr. Flook

To ask the Deputy Prime Minister if he will list the extra amounts given to each local authority in the pre-Budget report; and what proportion of Government support already announced for 2004–05 this represents in each case. [145622]

Mr. Raynsford

A table showing the provisional distribution of the additional £340 million announced in the pre-Budget report was published on the Office of the Deputy Prime Minister"s website on 11 December 2003 (see http://www.local.odpm.gov.uk/finance/0405/con2grntdiff.xls). For convenience a copy of this table is also available in the Libraries of the House.