Local Government Finance Settlement 2013-14 (England) — 13 Feb 2013 at 19:11

The majority of MPs voted to approve details of payments to be made to local Government by central government in 2012-13. This was the first year of a new system involving local retention of business rates (with a redistribution system), a "Revenue Support Grant" as well as other grants.

The approved motion read:

• That the Local Government Finance Report (England) 2013-14 (HC 948)^[1], which was laid before this House on 4 February be approved.

While speaking on the motion Brandon Lewis MP stated the overall reduction in local councils' spending power for 2013-14 compared with 2012-13 was 1.3%^[2]

The Audit Commission have summarised the impact of the local Government settlement for 2013-14^[3] stating:

• The settlement increases the proportion of council income from local sources from 56 per cent to 70 per cent.
• In total, spending power by English local authorities reduced by 1.7 per cent in 2013/14 compared to 2012/13. This has not impacted all local authorities equally. Seven authorities were awarded a total of £8.7 million of efficiency support grant to cap their spending power reductions at 8.8 per cent.

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• [1] The local government finance report (England) 2013/2014 via official-documents.gov.uk
• [2] Brandon Lewis (Great Yarmouth, Conservative), House of Commons, 4 February 2013
• [3] Audit Commission summary of impact of local government finance settlement for 2013/14
• [4] Written statement accompanying the laying before the House of the Local Government Finance Report (England) 2013-14 (HC 948)

Debate in Parliament | Source |