§ Mr. David ShawTo ask the Secretary of State for the Environment if he will bring forward legislation to require local authorities to disclose in their annual accounts(a) the number of staff employed, (b) their total remuneration, (c) the number of staff in receipt of remuneration in excess of £10,000 per annum in salary bands of £5,000 and (d) the remuneration of the highest paid chief officer in a format similar to that used in company accounts. [15165]
§ Mr. Robert B. JonesThere is a strong case for local authorities to publish details of the pay of their senior staff in broadly the same way as companies are required to publish details of the pay of their senior employees. However, I am keen to keep the new obligations on local authorities under control.
My Department is considering what information it would he appropriate for local authorities to publish and the best way for the local authorities to be encouraged to make that information public. Of course, no new stipulations would be introduced without consultation with the local authority associations.
§ Mrs. RocheTo ask the Secretary of State for the Environment what were the(a) total staff numbers, (b) total revenue and capital expenditure and (c) local 323W authority housing stock in all district authorities in East and West Sussex. [14890]
East and West Sussex (a) Total staff as at March 1994 (b)1 Net revenue expenditure 1993–94 outturn £000 (b)2 Total capital expenditure 1993–94 £000 (c)3 Dwelling stock as at 1 April 1994 Brighton 1,845 23,378 14,945 10,507 Eastbourne 666 10,970 7,834 4,771 Hastings 787 10,440 5,648 4,671 Hove 555 11,357 4,763 3,505 Lewes 429 8,563 3,748 3,923 Rother 375 8,579 4,738 3,355 Wealden 520 13,013 6,179 3,849 Adur 472 6,048 3,431 3,316 Arun 586 13,634 8,234 4,202 Chichester n/a 13,516 9,087 6,436 Crawley 816 10,448 5,602 10,389 Horsham 558 9,505 13,713 5,435 Mid Sussex n/a 9,333 2,875 0 Worthing 645 9,567 3,609 2,705 Notes:
(1),(2) Revenue expenditure and capital expenditure cannot be added together to give a "total" expenditure figure at an individual authority level. This is because some of the capital expenditure is funded from revenue.
(1) Net revenue expenditure is expenditure on recurring items including the running of services and capital financing. It excludes spending funded by special and specific grants and income from licence fees, etcetera. This is the expenditure figure to compare to standard spending assessment.
(2) This is gross capital expenditure on all services, including housing, and includes expenditure reimbursed by grants and expenditure financed from revenue.
(3) Includes dwellings owned by the named local authority but which are situated outside of this local authority's area.
§ Mr. LuffTo ask the Secretary of State for the Environment if he will make a statement on his proposals for local authority participation in companies and for amending the capital finance regulations. [16203]
§ Mr. CurryThe Local Authorities (Companies) Order 1995 and the Local Authorities (Capital Finance and Approved Investments) (Amendment) Regulations 1995 have today been laid before Parliament. These implement the package of proposals to encourage closer partnership between local authorities and the private sector, announced by my right hon. Friend on 31 October 1994.
The Local Authorities (Companies) Order 1995 establishes a regime for local authority participation in companies, under which those companies, including companies limited by guarantee, which are led by the private sector will be subject to few controls other than those applicable generally under the Companies Acts. We are providing in the regime transitional provisions for local authority companies established before 1 April 1995, and we are also allowing certain exemptions.
The Local Authorities (Capital Finance and Approved Investments) (Amendment) Regulations 1995 make a number of changes to the local authority capital finance rules, with the intention of promoting the use of private finance.
The order and regulations laid take account of extensive consultation conducted by my right hon. Friend the Secretary of State for the Environment and my right hon. Friend the Secretary of State for Wales with the local authority associations, individual local authorities, and other interested parties. The main changes made following this will:
324W
§ Mr. Robert B. Jones[holding answer 22 March 1995]: The available information is:
free authorities of all subsequent capital finance impact from a company's operations provided it leaves the public sector, permanently, by 31 March 1996.increase to 75 per cent. the usable proportion of receipts of sale of local authority shareholdings in airport companies arising before 1 April 1997, and in bus companies arising before 31 March 1996. This was announced by my right hon. Friend the Secretary of State for Transport on 3 March, Official Report, column 732.allow authorities holding leases of non-housing property taken out before 1988 to extend them for up to 10 years without capital costs.allow authorities to transfer assets to companies in return for a mixed consideration of cash and shares, without needing to set resources aside in relation to the shares.The regulations also introduce other beneficial changes which reflect consultations with and representations from local authorities. These will:
allow authorities to renew, for up to two years without capital cost, leases on privately owned homes expiring after 20 December 1994. This will enable authorities to continue present arrangements by renewing short-term leases on good quality homes in the private rented sector, rather than using bed-and-breakfast hotels to provide temporary accommodation. The use of bed and breakfast accommodation has fallen by 43 per cent. over two years.allow costs of computer software to be capitalised.In addition, there are many clarificatory and drafting changes.
I will also be laying before Parliament later in the year further regulations which will have the effect of increasing to 90 per cent. the usable proportion of local authorities' receipts from sales of car parks and retail property arising between 1 September 1995 and 31 August 1996.
Thus local authorities and prospective private sector partners can now look forward to a total of four targeted 325W reductions in set-aside to take effect during this year. It is up to authorities to take advantage of these and to persuade us of the case for others.
I have been impressed by the strength and depth of partnership arrangements already established by many local authorities with the private sector. The changes I am now making will support those initiatives and give authorities even greater scope to harness the private sector's investment potential and management skills in delivering capital projects.
We regard this improved package of measures as just a start. We shall be looking at other areas of the capital finance regulations, in particular those relating to allowance of cost deductions from capital receipts before set-aside is calculated, with a view to further amendments later in the year.
I have arranged for copies of two documents which summarise the new measures—"New Private Finance Rules for Local Authorities" and "A Guide to Local Authorities' Interests in Companies"—to be placed in the Library of the House.