Opposition Day — [1st allotted day] — Local Government Finances — 8 Dec 2009 at 21:49

I beg to move,

That this House notes with concern that this year's local government finance settlement will increase average Band D council tax to over £120 a month each year despite inflation being negative; cautions that this rise will mean that council tax has more than doubled since 1997 with a third of the increase in the basic state pension being negated by council tax rises; expresses concern at the effect of the Government's social care plans on council budgets; urges the Government to help fund councils in delivering a council tax freeze in England, as is already in operation in Scotland; and asserts that this year's settlement will increase the domestic tax burden at a time when households are already having to restrain their spending as a result of the prolonged recession.

I beg to move an amendment, to leave out from "House" to the end of the Question and add:

'congratulates the Government on introducing the first ever three year settlement for local government which will have provided an additional £8.6 billion for local government over three years, and continues to build upon the 39 per cent. real terms increase in funding provided to local government over the first 10 years of this Government; welcomes the four per cent. increase proposed for next year which, given the current level of inflation, would be the 13th straight year of above inflation increases; recognises the immense help this will give to local authorities throughout the country in dealing with difficult economic circumstances resulting from the global downturn; anticipates the lowest council tax increase for 16 years; rejects the calls from Her Majesty's Opposition to cut the Department for Communities and Local Government's budget by over £1 billion, which would lead either to cuts in local services or an increase in council tax bills of one per cent. to pay for the missing millions; and further welcomes the Government's Green Paper, Shaping the Future of Care Together, which sets out its vision to reform the adult care and support system in England."

Question put (Standing Order No. 31 (2)), That the original words stand part of the Question.

The House divided: Ayes 156, Noes 330.

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