§ LORD NAPIER AND ETTRICKasked Her Majesty's Government whether they are aware that since the introduction of the London Rate Equalisation Scheme in 1948 the sum payable by the "paying" boroughs has practically doubled, and that in the case of the metropolitan borough of Chelsea alone this sum has 1193WA risen from £100,000 to £185,000 per annum; and in view of the fact that there is now the completely illogical position of many of the "receiving boroughs levying lower rates than their benefactors, will the Government give an undertaking to have the whole scheme reviewed at the earliest opportunity, and have the whole matter placed on a more equitable footing.
§ LORD MANCROFTThe Government are aware of the financial effect of the existing London Rate Equalisation Scheme which was introduced in 1948. The effect is to bring the rate resources of all metropolitan boroughs whose rateable value per head of weighted population is below the average for the County of London up to that average, by payments from the County Council1194WA which are charged rateably on the whole county. These payments have increased since 1948 as a direct consequence of the general increase in local government expenditure in that period. The Scheme thus assures to each metropolitan borough council financial resources up to the average, while reserving to each of them a proper discretion as to the level of their expenditure. But it will need to be reviewed in the light of the provisions of the Local Government Bill now before Parliament; and it is at present being considered in the first instance by the Metropolitan Boroughs' Standing Joint Committee.
House adjourned at four minutes past four o'clock.