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Local Government Finance

Volume 210: debated on Tuesday 30 June 1992

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To ask the Secretary of State for the Environment if he will make a statement on the disparity between the standard spending assessment for interest receipts for Lancashire 1992–93 and the council's budget estimate.

The standard spending assessment element for interest receipts is calculated on the basis that the ability to generate such receipts is proportional to an authority's turnover or expenditure (as measured by total SSA, excluding the allowance for capital financing). For 1992–93 local decisions will determine the extent to which actual receipts differ from the SSA allowance.

To ask the Secretary of State for the Environment when he will respond to the representations made by the Association of Metropolitan Authorities on the need for reimbursement of local authorities on the costs incurred in business rate resiting as a result of the changes announced in the Budget; and if he will make a statement.

The Department wrote to the association on 25 June. We have agreed a basic allowance of 18 pence for postage costs and 70 pence for preparation of adjustment notices (but with an additional cost weighting for areas with high staff costs). In addition, we have agreed to meet authorities' reasonable computer software costs, subject to audit.