§ Mr. Proctorasked the Secretary of State for the Environment if, in the light of the proposed expenditure of £25 million by the new Greater London enterprise board, he will take steps to reduce the level of rate support grant payable in the next financial year by an equivalent amount.
§ Mr. KingIn determining the aggregate amount of the rate support grants for any year my right hon. Friend must take into account the latest information available to him as to the total of local authorities' relevant expenditure, and other considerations set out in section 54(4) of the Local Government, Planning and Land Act 1980. That Act does not enable him to reduce the aggregate amount of grant by an amount equivalent to any particular item of expenditure by an individual authority. It is for the GLC to satisfy itself that its proposals are in the interests of Greater London area generally and represent a sound use of ratepayers' money; to obtain any necessary parliamentary sanction through the money Bill procedure; and to justify its decisions to its electors. Since the GLC is on a negative marginal rate of grant, the more the council spends in 1982–83 the less block grant it receives from the Government.