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Local Government: Pay

Volume 496: debated on Tuesday 1 September 2009

To ask the Secretary of State for Communities and Local Government what assumptions his Department makes of the level of local government pay inflation in determining the local government finance settlement; and what measure of pay inflation is used. (288983)

No assumption on the level of local government pay inflation is made in determining the local government finance settlement. Cost pressures are considered as part of Spending Reviews. Differences in labour costs between areas are reflected in the Area Cost Adjustment.