HC Deb 21 December 1981 vol 15 cc330-5W
Mr. John H. Osborn

asked the Secretary of State for Transport if he will announce the details of the transport supplementary grant settlement for 1982–83.

Mr. David Howell

County councils have today been informed of their allocations of transport supplementary grant for 1982–83, which I intend to prescribe in the rate support grant report which my right hon. Friend the Secretary of State for the Environment and I shall lay before Parliament for approval early in the new year. I am announcing details of the settlement now so as to enable councils to take my decisions into account in planning their transport budgets for 1982–83.

For the 1982–83 settlement I have decided to accept, in cash terms, a total of £1,631.8 million of local transport expenditure on which grant of £456.9 million will he paid. The accepted expenditure represents a cash increase of about 11 per cent. on the equivalent figure for 1981–82. As in previous years grant will he paid at a rate of approximately 70 per cent. on each county's accepted expenditure above a threshold, which for 1982–83 will he £21.10 per head. As for 1981–82 there will also be a "safety net" threshold, so that all counties will get grant of at least 3 per cent. of their accepted expenditure.

In determining the amounts of accepted expenditure I have considered carefully the transport policies and programme (TPP) submissions made to me by county councils. My principal aim in this year's settlement has been to encourage those councils which are pursuing sensible and realistic transport policies, and thus to ensure both that the available resources go where they will be used to best effect and that expenditure is kept within the public expenditure limits set by the Government.

I am therefore encouraged that a number of councils have limited themselves to bids for current expenditure which fall below the level of expenditure accepted for 1981–82 in real terms. In recognition of their efforts to contain expenditure I have accepted these bids in full. At the same time I have been disturbed by the scale of the revenue support expenditure envisaged by certain counties—mainly metropolitan authorities but including some shires—reflecting a policy of cutting or freezing fares on public transport.

The Government have made it quite clear that they will not allow the TSG to be used to subsidise such extravagance, which can lead only to disproportionate rate increases, with adverse effect for industry and commerce in the areas concerned. For these counties I have accepted for grant only that level of revenue support which assumes that fares are increased realistically in line with costs, and that services are run efficiently. I have also allowed for some real increase in revenue support from the level accepted for the TSG in 1981–82 to help cushion the effects of the recession on receipts.

The additional expenditure resulting from excessive revenue subsidies has pre-empted resources that could have been put to better use. Here again I have sought to safeguard the programmes of authorities who have bid realistically. In particular I have accepted in full the road maintenance bids of 29 county councils.

The White Paper, "Lorries, People and the Environment" (Cmnd. 8439) published on 1 December,

The Distribution of Transport Supplementary Grant for 1982–83
The following table shows the amount of expenditure accepted for transport suplementary grant for each county, and the amount of grant payable on the accepted expenditure.
Table 1 £ million—1982–83 cash price
Expenditure Accepted for TSG
Revenue Support
County Bus etc. Rail Road Maintenance Other Current Capital Total Grant
Greater London 89.107 111.830 5.352 196.657 402.946 180.954
Greater Manchester 17.901 18.329 37.504 .403 14.029 88.226 22.839
Merseyside 20.317 14.614 24.929 .455 15.349 75.664 30.548
Tyne and Wear 12.954 1.307 19.454 .053 4.536 38.304 9.758
South Yorkshire 12.475 2.851 22.483 .161 9.424 47.394 13.938
West Midlands 12.475 7.485 40.189 .288 19.498 79.935 16.277
West Yorkshire 21.386 8.911 34.365 .840 14.368 79.870 25.393
Total Mets 97.568 53.497 178.924 2.200 77.204 409.393 118.751
Avon 1.782 14.964 .273 7.241 24.260 3.309
Bedfordshire .904 7.786 .178 5.249 14.117 2.452
Berkshire 1.129 10.018 .001 5.943 17.091 1.771
Buckinghamshire 1.426 9.317 .042 8.495 19.280 5.478
Cambridgeshire .795 9.022 .021 7.528 17.366 3.524
Cheshire 5.346 16.014 .188 4.545 26.093 4.535
Cleveland 1.782 9.368 .052 5.825 17.027 3.541
Cornwall 1.395 10.213 .023 5.164 16.795 5.562
Cumbria 2.329 13 030 .011 3.481 18.851 6.278
Derbyshire 3.327 .053 15.753 .056 3.708 22.897 2.728
Devon 1.270 21.039 .160 10.938 33.407 9.254
Dorset 1.616 10.619 .028 8.251 20.514 5.561
Durham 1.972 11.480 .076 5.696 19.224 4.547
East Sussex 2.044 9.515 .037 5.408 17.004 2.211
Essex 2.727 .004 23.108 .011 12.064 37.914 5.027
Gloucestershire .625 8.700 .033 2.916 12.274 1.194
Hampshire 3.375 19.535 .153 11.415 34.478 2.450
Herefordshire and Worcestershire 1.253 .309 10.272 .060 4.411 16.305 2.226
Hertfordshire 7.877 .006 13.720 .605 6.404 28.612 5.900
Humberside 1.188 .020 15.662 .062 9.766 26.698 6.124
Isle of Wight .312 2.661 .035 1.687 4.695 1.572
Kent 2.873 22.531 .251 12.088 37.743 4.801
Lancashire 4.871 .001 27.375 .103 10.347 42.697 9.705
Leicestershire 1.901 13.484 .344 6.350 22.079 3.058
Lincolnshire .772 .006 13.597 .092 3.897 18.364 4.909
Norfolk 1.179 11.952 .018 6.826 19.975 3.744
Northamptonshire .891 8.677 .034 7.303 16.905 4.052
Northumberland .713 8.154 .107 2.718 11.692 3.892

set out the Government's intention to give high priority to investment in urban and rural bypasses and relief roads. I have taken this priority into account in deciding the allocations of accepted capital expenditure, and county councils should be able to go ahead with a further 35 schemes of this kind.

I am letting county councils know the amounts I have accepted for capital, for road maintenance, for bus and rail revenue support, and for other current expenditure separately. Details of these figures, together with the amount of grant that each county will receive, are shown in table 1, a copy of which is deposited in the Libraries of both Houses. The figures are in cash terms, in accordance with the announcement by the Chancellor of the Exchequer in his Budget speech of 10 March 1981.

I am also announcing today the capital control allocations for transport, in accordance with section 72 of the Local Government Planning and Land Act 1980. These cover all the capital expenditure accepted for the TSG, together with certain other expenditure not eligible for the TSG. Details of these allocations are set out in table 2, and which has also been deposited in the Libraries of both Houses.

Expenditure Accepted for TSG
Revenue Support
County Bus etc. Rail Road Maintenance Other Current Capital Total Grant
North Yorkshire 1.782 18.638 .087 5.067 25.574 8.098
Nottinghamshire 1.242 15.168 .094 8.394 24.898 3.038
Oxfordshire .266 7.715 .061 2.621 10.663 .224
Shropshire .714 6.995 .114 2.927 10.750 2.041
Somerset .457 9.749 .081 4.884 15.171 4.432
Staffordshire 3.089 14.734 .038 7.101 24.962 2.645
Suffolk .368 .059 9.339 .022 6.358 16.146 2.397
Surrey 5.196 16.784 .145 8.843 30.968 6.998
Warwickshire .374 9.140 .122 3.273 12.909 2.095
West Sussex 1.928 11.939 .051 5.381 19.299 3.908
Wiltshire .581 8.485 .272 4.426 13.764 1.914
Total Shires 7.671 .458 496.252 4.141 244.939 819.461 157.195
Total England 260.346 53.955 787.006 11.693 518.800 1,631.800 456.900

Table 2
Capital Allocations—Transport 1982–83
County £
Greater London 194.924
Greater Manchester 22.001
Merseyside 21.362
Tyne and Wear 33.527
South Yorkshire 16.471
West Midlands 26.857
West Yorkshire 19.598
Total Mets. 139.816
Avon 7.618
Bedfordshire 5.472
Berkshire 6.296
Buckinghamshire 8.495
Cambridgeshire 7.658
Cheshire 4.819
Cleveland 6.225
Cornwall 5.713
Cumbria 3.819
Derbyshire 4.428
Devon 11.947
Dorset 8.952
Durham 6.439
East Sussex 6.079
Essex 13.208
Gloucestershire 2.916
Hampshire 12.206
Herefordshire and Worcestershire 4.411
Hertfordshire 6.656
Humberside 10.073
Isle of Wight 1.820
Kent 13.272
Lancashire 11.230
Leicestershire 6.825
Lincolnshire 4.040
Norfolk 7.049
Northants 7.719
Northumberland 2.908
North Yorkshire 5.067
Nottinghamshire 9.180
Oxfordshire 2.820
Shropshire 2.927
Somerset 5.084
Staffordshire 7.375
Suffolk 6.861
Surrey 9.259
Warwickshire 3.481
West Sussex 5.752
Wiltshire 4.495
Total Shires 260.594

County £
District Councils
Barnsley 0.228
Barrow 0.279
Blackburn 0.528
Blackpool 0.638
Blyth Valley 0.023
Boston 0.187
Boothferry 0.095
Bournemouth 0.070
Bradford 0.094
Brighton 0.025
Bristol 2.508
Burnley* 0.105
Canterbury 0.081
Carrick 0.023
Chester 0.257
Chesterfield 0.413
Colchester 0.099
Copeland 0.065
Darlington 0.244
Derby 0.605
Derwentside 0.042
Doncaster 0.285
East Staffordshire 0.081
Eastbourne 0.246
East Yorkshire 0.076
Exeter 0.073
Fylde 0.202
Gillingham 0.014
Glanford 0.832
Great Yarmouth 0.028
Grimsby* 0.109
Halton 0.131
Hartlepool 0.651
Hyndburn 0.165
Ipswich 0.426
Kingston-upon-Hull 0.682
Kirklees 0.190
Lancaster 0.314
Leeds 0.001
Leicester 1.351
Lincoln 0.167
Maidstone 0.258
Manchester City 0.060
Medina 0.018
Middlesborough* 0.783
Northampton 0.030
Nottingham 0.525
Penwith 0.242
Plymouth 1.426
Portsmouth 5.917
Preston 0.482
Reading 1.404
Rochdale 0.261
Rossendale 0.269
Rotherham 0.466

County £
Scunthorpe 0.356
Sedgefield 0.050
Sefton 0.119
Southampton 0.432
Southend-on-Sea 0.043
South Hams 0.024
Stockport 0.024
Stockton 0.005
Sunderland 1.715
Tameside 0.279
Thamesdown 0.327
Thanet 0.685
Torbay 0.005
Torridge 0.010
Tynedale 0.052
Wakefield 0.285
Wansbeck 0.172
Warrington 0.479
West Somerset 0.115
Weymouth 0.043
Wigan 0.089
Wirral 0.059
Total Districts 30.142
London Boroughs
Barking 0.134
Barnet 0.489
Bexley 3.451
Brent 0.145
Bromley 0.703
Camden 0.251
City of London 2.656
Croydon 1.063
Ealing 2.056
Enfield 0.239
Greenwich 0.228
Hackney 0.674
Hammersmith 0.379
Haringey 0.253
Harrow 1.613
Havering 0.703
Hillingdon 3.922
Hounslow 0.605
Islington 0.611
Kensington and Chelsea 0.412
Kingston-upon-Thames 1.723
Lambeth 0.503
Lewisham 0.286
Merton 0.841
Newton 1.875
Redbridge 1.547
Richmond 0.115
Southwark 2.796
Sutton 0.755
Tower Hamlets 0.684
Waltham Forest 1.312
Wandsworth 0.098
Westminster 4.319
Total London Boroughs 37.441
Total counties (including GLC) 595.334
Total districts 30.142
Total London boroughs 37.441
Total England 662.917
* Allocations made to one authority in respect of joint bus undertakings shared with one or more other authorities.