Examination of Witnesses (Questions 800-801)
MR NICK
RAYNSFORD MP
23 JUNE 2004
Q800 Chris Mole: The United Kingdom has
ratified the European Charter of Local Self-Government which requires—at
Article 9—that " . . . the financial systems on which
resources available to local authorities are based shall be of
a sufficiently diversified and buoyant nature to enable them to
keep pace as far as practically possible with the real evolution
of the cost of carrying out their tasks". The independent
Commission on Local Governance, set up by the Local Government
Information Unit, has concluded that the UK is in breach with
the substance and spirit of the charter. Do you agree with that
commission?
Mr Raynsford: No, I do not. We
would not have signed the charter and as a government we did when
we came into office; previous government had not. We would not
have signed it if we did not believe in it and did not want to
apply it. The fact that we are conducting this review at the moment
is a pretty clear indication that we are very serious about ensuring
that local authorities should have a fair and sustainable basis
of funding in the future. It does not mean the present is wholly
adequate. I have already indicated that there are criticisms of
the current arrangements and we are looking to see what scope
there is for improvement. I hope that our report will inform that
debate. I do not agree that we are in breach of that charter.
Q801 Chairman: On that note, may I thank
you very much for your evidence. We look forward to reading the
report when it comes out.
Mr Raynsford: May I say that I
look forward to yours as well.
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