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Local Government Finance

Volume 447: debated on Thursday 15 June 2006

To ask the Secretary of State for Communities and Local Government what funds were distributed to each London borough to increase efficiency in local government in each of the last five years; and if she will make a statement. (75698)

Funding to support efficiency in local authorities is distributed to nine Regional Centres of Excellence (RCEs). Each RCE has its own local governance arrangements for supporting authorities across the region.

Funding for individual projects, many of which operate across local authority boundaries, are decided by the RCE Board. Specifically, since 2004-05, funding made available to the London RCE in relation to taking forward the Efficiency Agenda is as follows:

Receiving authority

Grant payable (2004-05)

Grant payable (2005-06)

Additional core funding (2005-06)

Workstream specific efficiency support (2005-06)

London Regional Centre of Excellence

1.25 million

1.6 million


228,366.25 100,000

Individual projects supported by the London RCE are listed at: _Projects.asp

The Spending Review 2004 set out the expectation that local government (including councils, schools, police and fire authorities) would make at least £6.45 billion efficiency gains by 2007-08. This target is based on the achievement of annual gains equivalent to 2.5 per cent. of 2004-05 baseline expenditure. Local authorities have responded well to this challenge and councils are expecting to deliver £1.9 billion of efficiency gains by end 2005-06 against the target of £l.0 billion.