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Local Government Finance

Volume 496: debated on Monday 20 July 2009

To ask the Secretary of State for Communities and Local Government whether his Department is taking steps to reform the parish cheque payment system operating in local authorities. (286580)

The reform of the parish cheque payment system is the subject of continuing discussions with the National Association of Local Councils and other interested parties. Once these discussions are concluded it is our policy to look for an appropriate legislative vehicle to replace the relevant legislative provisions.

To ask the Secretary of State for Communities and Local Government whether his Department is taking steps to protect local authorities against vexatious objections to the local authorities auditing system. (286581)

The Code of Audit practice makes it clear that auditors should reject objections that disclose no reasonable cause for action, are frivolous or vexatious objections to the local council auditing system.

To ask the Secretary of State for Communities and Local Government (1) which (a) specific and (b) area-based grants are distributed to local authorities by each division of his Department; (285043)

(2) what recent estimate has been made of the annual cost to (a) his Department of distributing each grant made by it to local authorities and (b) local authorities of administering each such grant.

The Government believe in giving local authorities greater flexibility to take decisions on local priorities. The introduction of the area based grant has reduced ring-fencing, giving councils increased flexibility to manage their budgets. Alongside this, the new local performance framework has provided a simplified and more effective structure for priority setting and performance measurement.

The following specific grants are being paid by this Department direct to local authorities in 2009-10:

Cornish Language 2009

Housing Option Grant 2009-10

Minor Repairs and Adaptations “Handyperson” Grant 2009-10

Overcrowding Grant 2009-10

Supporting Local Delivery Grant for Local Improvement Adviser Support 2009

Planning Sector-Led Support 2009-10

Homelessness Revenue Grant 2009-10

Fire and Rescue Authorities Capital Funding 2009-10

Olympic Park Grant 2009-10

Growth Fund 2009-10

Olympic Security Funding—Dorset Fire and Rescue 2009-10

Olympic Security Funding—LFEPA 2009-10

Timely Information to Citizens 2009-10

FiReControl Implementation Funding 2009-10

Preventing Repossession Revenue Grant 2009-10

Minor Repairs and Adaptations “Enhanced Services” Grant 2009-10

Capacity Building and Efficiency Grant for Regional Improvement and Efficiency Partnerships 2009

Fire and Rescue Authorities Capital Funding (Diversity Recruitment Target Commitment) 2009-10

Empty Shops Funding 2009-10

Local Public Service Agreements Performance Reward Grant 2009-10

Supporting Worklessness Delivery Grant for Regional Efficiency and Improvement Partnerships 2009-10

Business Rates Deferral Scheme 2009-10

Community Infrastructure Fund 2009-10

Fund to Manage Transitional Impacts of Migration (No 2) 2009-10

Local Authority Business Growth Incentives

Local Enterprise Growth Initiative (capital element)

Warden Resource Centre Grant

Coastal Communities Regeneration Handbook

Housing and Planning Delivery Grant

Supporting People Programme Grant

Disabled Facilities Grant

Rent Officers Pension Liabilities

New Dimension Grant.

Area based grant is paid by Communities and Local Government on behalf of the Government as a whole, in monthly instalments. Funding streams from this Department which are being paid through area based grant in 2009-10 are:

Community Cohesion

Local Enterprise Growth Initiative (resource element)

Stronger Safer Communities

Supporting People Administration

Working Neighbourhood Fund

Preventing Violent Extremism

Climate Change.

The Department does not routinely estimate the costs of distributing grant each year, although it does consider the cost-effectiveness of proposals as part of the policy development process. It also assesses whether there will be any new burdens on local authorities, and ensures that these are fully funded when a policy is implemented.