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By Tony Grew - 21st October 2010
A Liberal Democrat minister today defended the cuts to local government budgets in the Commons.
Several Labour MPs made reference to a report produced by Price Waterhouse Coopers that predicted up to one million public and private sector workers could lose their jobs as a result of yesterday's comprehensive spending review.
David Blunkett (Lab, Sheffield Brightside) said PwC has estimated that 80,000 jobs will go in Yorkshire alone.
Jack Dromey (Lab, Birmingham Erdlington) accused the government of not conducting a study into the impact of the cuts on both public and private sectors.
Communities minister Andrew Stunell told Dromey he should not put "so much faith" in the findings of a report from a "private consultant".
He added that PwC's work is "purely speculative" and claimed the government is putting the British economy back on its feet.
Shadow communities secretary Caroline Flint said cuts to local authority funding will have an adverse effect on house building.
Housing minister Grant Shapps said that the coalition plans to build more afffordable homes per year than Labour built in its 13 years in government.
Flint replied that the cuts are "the government's choice" and they have chosen to burden local communities.
Mike Freer (Con, Finchley and Golders Green) asked about incentives to encourage the building of new homes.
Shapps said a 'new homes bonus' will be in place by April and will continue for six years.
Also at DCLG questions, Duncan Hames (Lib Dem, Chippenham), complained about redundancy payouts to local council chiefs.
In his constituency "just four staff shared nearly £2 million in remuneration in their final 12 months in post".
Communities secretary Eric Pickles promised to intervene to stop "golden goodbyes" if council themselves do not take action.
"I certainly believe by allowing local authorities now, the whole council as opposed to a tiny cosy elite, to decide these matters on the floor of the chamber will make that difference."
Rehman Chishti (Con, Gillingham and Rainham) asked what timetable he has set for the closure of the Standards Board for England.
Pickles said provisions will be contained in the upcoming Localism Bill.
Article Comments
Local authorities are facing unprecedented challenges. We call on them to protect the quality of the key frontline services that provide support to the worst off in society and take a hard look at efficiencies they can make in overheads as an alternative to cuts in services for the most vulnerable delivered by the third sector
Jenny Edwards, chief executive, Homeless Link
22nd Oct 2010 at 8:20 am
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