Council Tax (New Valuation Lists for England) Bill

I suggest that the right hon. Gentleman spend more time reading the Bill than the Sunday papers, because the Bill is designed to ensure that that does not happen. I am surprised to get such a lesson from the right hon. Gentleman, who, as the great believer in the market, should be arguing that a property-based taxation system should reflect the market value of properties. If he does not take that position, we can have an interesting debate on the role of markets in public life. We believe that the changes that I have set out represent not only a big challenge but a massive opportunity for local government and we believe that opportunity is most likely to be grasped if local government is able to focus on service delivery supported by financial stability. This is the context for the changes we are debating today. The Opposition gave the Under-Secretary, my hon. Friend the Member for Poplar and Canning Town (Jim Fitzpatrick), the chance to set out our arguments and explain the Lyons inquiry in our recent debate on 19 October. The Government appointed Sir Michael Lyons in July 2004 to carry out an independent inquiry into local government funding. He has made good progress with that remit and, over the summer, discussed with Ministers his view that robust recommendations on possible reforms to local government funding could not be made in isolation from proper consideration and understanding of the changing role of local government. It is in that context, and for that reason, that my right hon. Friends the Chancellor of the Exchequer and the Deputy Prime Minister extended the terms of reference of Sir Michael’s inquiry to consider and review the changing role of local government and to review how the Government’s agenda for devolution and decentralisation could improve services, and, in the light of this, to consider how to manage pressures on local services. That was in addition to his existing remit to make proposals on the funding of local government.