Local Government Finance (England) — 10 Feb 2016 at 18:54

The majority of MPs voted to set the main central government grant to local government for 2016-17 at a level 24.6% lower than it was set for 2015-16.

The majority of MPs voted to set the "Revenue Support Grant" for local government for the financial year 2016/2017 at £7,183,928,972 (The figure for 2015/2016 was £9,532,747,360^[1])

An associated statement to Parliament^[2] said:

• Core spending power for councils will also be virtually unchanged:
• £44.5 billion in 2015 to 2016 and
• £44.3 billion in 2019 to 2020.
• In real terms, this requires savings of 6.7% over this Spending Review period – compared to 14% announced at the Spending Review of 2010.

Local councils are increasingly funded via local retention of council tax, business rates and other local revenues.

The motion supported by the majority of MPs taking part in the vote was:

• That the Report on Local Government Finance (England) 2016–17 (HC 789), which was laid before this House on 8 February, be approved

As this vote specifically affected England it was subject to a double majority vote, it required the support of the majority English MPs taking part as well as the majority of MPs voting to pass.

All MPs:

Ayes 315, Noes 209.

English MPs:

Ayes 301, Noes 181

• [1] Local Government Finance Report 2015-16 — Level of Revenue Support Grant — 10 Feb 2015 - PublicWhip
• [2] Greg Clark MP (Tunbridge Wells, Conservative), House of Commons, Official Record, 10 February 2016

Debate in Parliament | Source |