HC Deb 04 November 2002 vol 392 cc48-9W
Mr. Cawsey

To ask the Deputy Prime Minister what account he has taken of the extra cost of providing services in rural areas in the local government formula grant review. [78879]

Mr. Raynsford

The formula grant review options that were put forward as part of the summer consultation were informed by evidence on relative costs of providing services across the country. We are currently taking decisions on the new system to be implemented following that consultation, and in doing so are considering carefully all of the evidence, pressures and representations that we received, including those from rural areas.

Mr. Cawsey

To ask the Deputy Prime Minister what impact changes in the local government formula grant will have on public services in(a) the East Riding of Yorkshire and (b) North Lincolnshire. [78881]

Mr. Raynsford

We will announce the new system for distributing Formula Grant, including detailed grant allocations for individual authorities, at the time of the provisional local government finance settlement which we expect to be around the start of December. Once the Government has allocated its grant, decisions about budgets and services are primarily for local councils to make. However, we have already guaranteed that no authority will face a cut in grant next year on a like for like basis, and we hope to do better than that when we announce the actual floors and ceilings scheme as part of the provisional settlement.

Mr. Cawsey

To ask the Deputy Prime Minister what research was done by his Department into the impact of dispersal and settlement patterns on the cost of providing services in rural areas as part of the local government formula grant review. [78882]

Mr. Raynsford

The Office of the Deputy Prime Minister commissioned research into the impact of sparsity, dispersal and settlement patterns as part of the work on the Environmental, Protective & Cultural Services block. In addition other Government departments have undertaken such research covering the services for which they are primarilyresponsible. Officials have also discussed sparsity issues with local government colleagues over the past 18 months in technical groups covering all service blocks. This informed the options put forward in the Formula Grant Review consultation document. We are currently taking decisions on the new system to be implemented following that consultation, and in doing so are considering carefully all of the evidence, pressures and representations that we received, including those from rural areas.