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Local Authority Expenditure

Volume 974: debated on Monday 26 November 1979

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asked the Secretary of State for the Environment what is the effective reduction in local authority expenditure by the Government in the next financial year; how much of this will be on the purchase of goods and services produced by the private sector; and which industries are likely to be affected by the reduction and to what extent.

The total expenditure planned for local authorities is set out in line 2 of table 1 of the White Paper on the Government's Expenditure Plans for 1980–81, (Cmnd 7746), although it should be noted that the estimated figure for 1979–80 is subject to the qualification made in paragraph 13 of the White Paper.It is for individual local authorities to decide the pattern of their expenditure in the light of local needs and conditions. I cannot make any prediction about the effect of their decisions on the demand for goods and services from the private sector and the effects on industry.