§ 32. Mr. HallTo ask the Secretary of State for the Environment if he will make a statement on the financial methodology adopted by the Local Government Commission and its implications for decisions on future local government structures.
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§ Mr. CurryWe have said that change to local government structure should be worth while and cost-effective over time. This does not mean that the cheapest option should be selected everywhere, or that all changes must be cheaper than the status quo. But costs should be assessed on a consistent basis, as our guidance to the commission makes clear. A methodology for financial appraisals has been developed by the commission's advisers, Ernst and Young, and I understand that they have invited comments on it. We will be examining this methodology to ensure that it is in accordance with our guidance.