Councils are free to determine the level of reserves they hold and are accountable to their electorate for the decisions they make. No powers exist to redistribute/reclaim this resource. All local authorities are required to hold sufficient unallocated reserves to meet unforecastable financial risks.
Many council\u2019s reserves are earmarked for particular purposes. Earmarked reserves are funds that are spent at the discretion of the local authority.<\/p>"}
, "answeringMember" : {"_about" : "http://data.parliament.uk/members/4483", "label" : {"_value" : "Biography information for Rishi Sunak"}
}
, "answeringMemberConstituency" : {"_value" : "Richmond (Yorks)"}
, "answeringMemberPrinted" : {"_value" : "Rishi Sunak"}
, "dateOfAnswer" : {"_value" : "2019-06-13", "_datatype" : "dateTime"}
, "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"}
, "questionFirstAnswered" : [{"_value" : "2019-06-13T16:33:11.223Z", "_datatype" : "dateTime"}
]}
, "answeringDeptId" : {"_value" : "7"}
, "answeringDeptShortName" : {"_value" : "Housing, Communities and Local Government"}
, "answeringDeptSortName" : {"_value" : "Housing, Communities and Local Government"}
, "date" : {"_value" : "2019-06-06", "_datatype" : "dateTime"}
, "hansardHeading" : {"_value" : "Local Government Finance"}
, "houseId" : {"_value" : "1"}
, "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"}
}
], "questionText" : "To ask the Secretary of State for Housing, Communities and Local Government, what progress he has made on encouraging local authorities to invest more of their reserves in local communities.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"}
, "tablingMember" : {"_about" : "http://data.parliament.uk/members/4093", "label" : {"_value" : "Biography information for Stephen McPartland"}
}
, "tablingMemberConstituency" : {"_value" : "Stevenage"}
, "tablingMemberPrinted" : [{"_value" : "Stephen McPartland"}
], "uin" : "261216"}
, {"_about" : "http://data.parliament.uk/resources/1129116", "AnsweringBody" : [{"_value" : "Ministry of Housing, Communities and Local Government"}
], "answer" : {"_about" : "http://data.parliament.uk/resources/1129116/answer", "answerText" : {"_value" : "
The definition of spending power is not comparable over the period 2010-11 to 2019-20 due to changes in the finance and function of local government. A consistent measure of core spending power is available for the period 2015 -16 to 2019 -20. The Department does not calculate Core Spending Power per head.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4483", "label" : {"_value" : "Biography information for Rishi Sunak"} } , "answeringMemberConstituency" : {"_value" : "Richmond (Yorks)"} , "answeringMemberPrinted" : {"_value" : "Rishi Sunak"} , "dateOfAnswer" : {"_value" : "2019-06-06", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2019-06-06T15:28:26.473Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "7"} , "answeringDeptShortName" : {"_value" : "Housing, Communities and Local Government"} , "answeringDeptSortName" : {"_value" : "Housing, Communities and Local Government"} , "date" : {"_value" : "2019-06-03", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Local Government Finance"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Secretary of State for Housing, Communities and Local Government, what estimate his Department has made of the difference in spending per head between 2009-10 and 2017-18 by local authorities in the five most deprived areas in England and Wales.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/308", "label" : {"_value" : "Biography information for Mr Jim Cunningham"} } , "tablingMemberConstituency" : {"_value" : "Coventry South"} , "tablingMemberPrinted" : [{"_value" : "Mr Jim Cunningham"} ], "uin" : "258978"} , {"_about" : "http://data.parliament.uk/resources/1110382", "AnsweringBody" : [{"_value" : "Ministry of Housing, Communities and Local Government"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1110382/answer", "answerText" : {"_value" : "
The Government is undertaking a review of the relative needs and resources of local authorities in England, with a view to setting fresh baseline funding levels in 2020-21. We are working closely with local government representatives and others to consider the drivers of local authorities\u2019 costs, the resources available locally to fund services, and how we should account for these in a way that draws a more transparent and understandable link between local circumstances and resource allocations.<\/p>
In December 2018 the Government published a consultation detailing its interim analysis and conclusions, and which set out its proposed approach to assessing the relative needs and resources of local authorities. We received over 300 responses to this consultation and are considering these responses carefully, before we take further decisions on the shape of the review. This is an ongoing process and as such, the analysis is not yet complete. However, the Government recognises the need for transparency, a key principle of the review, and intends to publish further detail on its proposals in due course.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4483", "label" : {"_value" : "Biography information for Rishi Sunak"} } , "answeringMemberConstituency" : {"_value" : "Richmond (Yorks)"} , "answeringMemberPrinted" : {"_value" : "Rishi Sunak"} , "dateOfAnswer" : {"_value" : "2019-04-11", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2019-04-11T10:58:57.28Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "7"} , "answeringDeptShortName" : {"_value" : "Housing, Communities and Local Government"} , "answeringDeptSortName" : {"_value" : "Housing, Communities and Local Government"} , "date" : {"_value" : "2019-04-08", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Local Government Finance"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Secretary of State for Housing, Communities and Local Government, whether he has plans to publish more of the analysis that has informed the Fair Funding review proposals.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4638", "label" : {"_value" : "Biography information for Mr Tanmanjeet Singh Dhesi"} } , "tablingMemberConstituency" : {"_value" : "Slough"} , "tablingMemberPrinted" : [{"_value" : "Mr Tanmanjeet Singh Dhesi"} ], "uin" : "242240"} , {"_about" : "http://data.parliament.uk/resources/1078452", "AnsweringBody" : [{"_value" : "Ministry of Housing, Communities and Local Government"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1078452/answer", "answerText" : {"_value" : "
The Government recognises that local authorities value certainty, which is why we agreed a multi year settlement for local government worth over £200 billion in the five years to 2020, that was accepted by 97 per cent of councils in return for publishing efficiency plans. Where there is evidence of increasing pressures in certain areas, the Government has determined it has been right to provide additional funding. Specifically, at Autumn Budget the Chancellor announced an additional £650 million for social care in 2019-20. This includes £240 million of to support adult social care services to reduce winter pressures on the NHS, in addition to the £240 million provided for 2018-19, and £410 million for local authorities to support adults and children\u2019s social care services.<\/p>
In the long term, the Spending Review will determine funding for local government from 2020-21 onwards and will enable us to look at local government spending in the round.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4483", "label" : {"_value" : "Biography information for Rishi Sunak"} } , "answeringMemberConstituency" : {"_value" : "Richmond (Yorks)"} , "answeringMemberPrinted" : {"_value" : "Rishi Sunak"} , "dateOfAnswer" : {"_value" : "2019-03-04", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2019-03-04T17:47:58.237Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "7"} , "answeringDeptShortName" : {"_value" : "Housing, Communities and Local Government"} , "answeringDeptSortName" : {"_value" : "Housing, Communities and Local Government"} , "date" : {"_value" : "2019-02-27", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Local Government Finance"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Secretary of State for Housing, Communities and Local Government, what comparative assessment his Department has made of the effect on (a) value for money and (b) service provision of providing funding to local authorities through (i) long-term arrangements and (ii) one-off funding streams.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4046", "label" : {"_value" : "Biography information for Bridget Phillipson"} } , "tablingMemberConstituency" : {"_value" : "Houghton and Sunderland South"} , "tablingMemberPrinted" : [{"_value" : "Bridget Phillipson"} ], "uin" : "226662"} , {"_about" : "http://data.parliament.uk/resources/1064682", "AnsweringBody" : [{"_value" : "Ministry of Housing, Communities and Local Government"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1064682/answer", "answerText" : {"_value" : "
The Government is undertaking a review of the relative needs and resources of local authorities in England, with a view to setting fresh baseline funding levels in 2020-21. We are working closely with local government representatives and others to consider the drivers of local authorities\u2019 costs, the resources available locally to fund services, and how we should account for these in a way that draws a more transparent and understandable link between local circumstances and resource allocations.<\/p>
In December 2018 the Government published a consultation paper, which set out a proposed approach to assessing the relative needs of local authorities. Our analysis has shown that for many universal services, the number of people in each local authority area is the most important predictor of the costs that councils face in delivering those services. The consultation therefore proposes the introduction of a simple population-based Foundation Formula to account for many of the universal services that local authorities deliver, alongside several specific funding formulas for some of the largest and most complex service areas.<\/p>
To understand whether including additional \u2018cost drivers\u2019, including deprivation, significantly improves the precision of the Foundation Formula, a comparison was made between the amount of variation in past expenditure that was explained by different combinations of cost drivers, to the total amount of variation in expenditure. The basis on which this comparison was made is set out in pages 19 to 21 of the consultation paper (link below). Whilst, in aggregate terms, deprivation was not shown to be a major cost driver for the services included in the Foundation Formula, to ensure that deprivation is appropriately accounted for in the relative needs assessment, deprivation, or a suitable proxy for deprivation, is taken into account in four of the service-specific formulas that were proposed.<\/p>