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Rate Support Grant (Cash Limits)

Volume 972: debated on Monday 29 October 1979

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asked the Secretary of State for the Environment if he will consider postponing the determination of cash limits on rate support grant until later in the financial year, or set them by reference to a general index of movement in wages and prices, as suggested by the centre for environmental studies in its latest review, in order to reduce the uncertainty facing local authorities because of high inflation.

No. The cash limits that my right hon. Friend the Secretary of State for the Environment will announce on 20 November will be firm and realistic. Local authorities will then be in no doubt how much grant they can expect to receive. That is the best way to reduce uncertainty.