§ David WrightTo ask the Deputy Prime Minister which local authorities in England and Wales were affected by the floors and ceilings in the local government settlement for 2003–04; and how much grant each one gained or lost. [132547]
§ Mr. RaynsfordAll authorities in England were affected by the floors and ceilings in the local government settlement for 2003–04.
In order to pay for the cost of the floor authorities are subject to a ceiling. However because the money raised from ceiling authorities does not entirely pay for the cost of the floor, middle authorities (i.e. those not subject to either the floor or the ceiling) are subject to a scaling factor on any increase above the floor. The amount raised from both middle and ceiling authorities equals the amount needed for floor authorities.
A table showing the actual benefit from cost to authorities of the floors and ceilings in the local government settlement for 2003–04 is available in the Library of the House.