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Local Authorities (Block Grant)

Volume 31: debated on Thursday 4 November 1982

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asked the Secretary of State for the Environment when he will be announcing his proposals to abate block grant for local authorities overspending in 1983–84.

The local authority associations have today been consulted on three possible schemes for abating block grant in 1983–84. Under scheme A, for every 1 per cent. of spending above target, block grant would be abated by the equivalent of a 4p rate poundage at ratepayer level. Under scheme B, for each of the first two percentage points of spending above target, the grant losses would be 1p. For every percentage point thereafter, the grant loss would be 5p. Under scheme C, for each of the first two percentage points above target, the grant loss would be 1p. For every percentage point thereafter, the grant loss would be 3p. Copies of the consultation document have been placed in the Library.