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London Residuary Body

Volume 111: debated on Monday 23 February 1987

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asked the Secretary of State for the Environment if he will break down the money to be returned to London boroughs by the London residuary body detailing the sum to be paid to each borough; and if he will make a statement.

Firm figures will not be available until the GLC's final accounts have been audited and certified. However, the tables show the latest estimates which we have from the London residuary body of revenue balances, capital receipts and associated spending power which willl be distributed to London boroughs, the common council and the Temples.Of the estimated £129 million revenue balances available for distribution, £89 million is being paid out in this financial year in monthly instalments. The remaining £40 million is to be distributed in 1987–88. LRB estimate that a further £40 million may be available in 1988–89. It is, however, too early to say whether this amount will be distributed, as it may be required to finance other expenditure.

Table A Distribution of Estimated GLC Revenue Balances
Distributed in 1986–87To be distributed in 1987–88
Inner London
City of London68,87128,938
Inner Temple1,449615
Middle Temple1,317591
Camden2,335,6441,066,273
Greenwich2,845,4551,277,872
Hackney2,475,2821,108,238
Hammersmith & Fulham1,985,232891,910
Islington2,176,246992,390
Kensington and Chelsea1,791,983813,299
Lambeth3,216,9451,439,232
Lewisham3,057,5461,373,624
Southwark2,840,1851,276,099
Tower Hamlets1,904,874869,449
Wandsworth3,402,6891,529,664
Westminster2,397,5591,058,589
Total Inner London30,500,87713,726,783
Outer London
Barking & Dagenham1,968,106878,315
Barnet3,928,3081,780,273
Bexley2,877,0711,291,467
Brent3,357,9001,506,612
Bromley3,930,9431,760,768
Croydon4,200,9981,885,482
Ealing3,803,1611,728,260
Enfield3,468,5571,566,310
Haringey2,635,9981,165,571
Harrow2,693,1231,192,168
Havering3,157,6641,409,679
Hillingdon3,058,8641,373,033
Hounslow2,605,6991,156,114
Kingston upon Thames1,766,553791,430
Merton2,160,438972,294
Newham2,758,5101,232,952
Redbridge2,963,7751,347,617
Richmond upon Thames2,115,648954,562
Sutton2,234,2091,002,438
Waltham Forest2,833,5981,277,872
Total Outer London58,499,12326,273,217
Total All Boroughs89,000,00040,000,000
Distribution of capital receipts is subject to the Local Government Reorganisation (Capital Money) (Greater London) Order 1987 (SI 1987/118) which will come into effect on 27 February 1987. This provides for the transfer of the cash and spending power. Table B shows the estimated spending power entitlement for the city and boroughs.
Table B—Distribution of Estimated Spending Power
Inherited from GLC transferred in 1986–87 £000sLRB receipts arising and transferred in 1986–87 £000sLRB receipts arising and to be transferred in 1987–88 £000s
Inner London
City of London28580132
Camden9,6805,2957,560
Greenwich11,7933,6185,986
Hackney10,2585,7608,097
Hammersmith and Fulham8,2283,1234,918
Islington9,0195,2857,284
Kensington and Chelsea7,4252,6094,295
Lambeth13,3326,6009,914
Lewisham12,6724,5487,318
Southwark11,7715,8818,824
Tower Hamlets7,8943,1864,972
Wandsworth14,1023,8326,669
Westminster9,9362,9454,931
Total Inner London126,39552,76280,900
Outer London
Barking and Dagenham8,1571,1502,781
Barnet16,2802,0724,925
Bexley11,9241,5043,516
Brent13,9164,5667,140
Bromley16,2912,0424,843
Croydon17,4102,3925,305
Ealing15,7623,0935,966
Enfield14,3751,9464,421
Haringey10,9255,0086,985
Harrow10,9961,5453,375
Havering13,0861,6153,905
Hillingdon12,6771,9584,112
Hounslow10,7992,1863,970
Kingston upon Thames7,3218232,042
Merton8,9541,3092,968
Newham11,4324,2886,299
Redbridge12,3661,6523,737
Richmond upon Thames8,7681,2712,727
Sutton9,2591,0792,676
Waltham Forest11,7432,1394,283
Total Outer London242,44143,63885,976
Total all Boroughs368,83696,400166,876
Table C shows the estimated cash to be distributed to those authorities. No surplus cash receipts exist from 1985–86 and earlier years.
Table C Distribution of Estimated Capital Receipts Cash
Inner London1986–87 £000s1987–88 £000s
City of London2787
Camden2,0024,821
Greenwich1,2413,904
Hackney2,1845,157
Hammersmith & Fulham1,1193,176
Islington2,0144,638
Kensington & Chelsea9212,781

Inner London

1986–87 £000s

1987–88 £000s

Lambeth2,4646,328
Lewisham1,6124,735
Southwark2,1975,634
Tower Hamlets1,1543,205
Wandsworth1,2744,371
Westminster1,0013,217
Total Inner London19,21052,054

Outer London

Barking & Dagenham2861,871
Barnet4763,359
Bexley3432,402
Brent1,5894,653
Bromley4623,305
Croydon5823,612
Ealing9203,983
Enfield4703,008
Haringey1,8504,491
Harrow3832,296
Havering3612,663
Hillingdon5162,781
Hounslow6592,652
Kingston upon Thames1671,403
Merton3342,004
Newham1,5324,086
Redbridge3952,548
Richmond upon Thames3221,854
Sutton2281,833
Waltham Forest6152,866
Total Outer London12,49057,670
Total all Boroughs31,700109,724

On the basis of these figures, by the end of 1987–88 London boroughs will have received the benefit of some £240 million cash and £632 million additional spending power as a direct result of abolition of the GLC.