IW Council Disappointed At Final Grant Settlement

This came in from Conservative councillor and leader of the Isle of Wight council, David Pugh late last night. Ed

The Leader of the Isle of Wight Council has responded to the announcement of the final grant settlement for local authorities, which sees the Isle of Wight’s funding provision for next year improved by only £4,470.

David Pugh - iWightThis is despite a submission to the Government which set out the case for an adjustment of £898,000, due to miscalculations in grants for concessionary fares and local transport. This representation included a meeting with the Local Government Minister Bob Neill MP, prior to Christmas.

“Not followed their own guidance”
Speaking after the details of the final grant settlement were announced in a written ministerial statement, Cllr David Pugh said: “The Government has calculated our grant settlement for 2011/12 using incorrect figures. It is very clear that they have not followed their own guidance for how like-for-like comparisons between financial years should take place. We will now be considering what further steps are taken in pursuit of our rightful entitlement of funding.

“It appears that many other local authorities have also had their justifiable claims for funding adjustments largely ignored.

Meeting with Andrew Turner
“This matter is due to be debated and voted on by MPs on Wednesday 9th February. We intend to meet with Andrew Turner before then and will be asking him to speak in that debate on behalf of the Isle of Wight.”

Cllr Pugh has once again highlighted the Council’s concern at the frontloading nature of the reductions. Calculations by the local authority show that if the Government spread the reductions evenly over a four year period, rather than the bulk being placed into 2011/12, then the Council’s savings target for next year would be reduced from £17.8m to £11.6m.

Concern at frontloading
Responding to this figure, Cllr Pugh added: “We have repeatedly expressed concern about the frontloading of the cuts in the next financial year. The Local Government Association has made representations about this concern, on our behalf, to central government – but to no avail.

“The size of the service reductions we are having to consider for next year are as a direct result of this frontloading. We strongly urge MPs to reconsider the scale and speed of the reductions in funding to local government, and we will also be asking Andrew to take this up on our behalf in next week’s debate.

Opportunity for a more equitable approach
“There is still the opportunity for MPs to agree a more equitable approach to local government’s contribution to deficit reduction. I am sure that councils right across the country will, over the next week, be encouraging their parliamentary representatives to do this.”

Image: iWight

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