Local Government Finance

The right hon. Gentleman is right, in that the council tax rise was 4.2 per cent. last year, 4.5 per cent. the year before, and 4.1 per cent. the year before that. The level of council tax rises will be determined by the decisions that local councils throughout the country take. As for the pressures that he feels exist in his area, let me say again that this is not just a question of the cash that central Government give; it is also a question of the decisions taken, and leadership given, by local councils in managing those pressures over the next three years. If the right hon. Gentleman's own local county council of North Yorkshire were to achieve the 3 per cent. efficiency savings that we expect, that would give it almost £9 million extra to spend on improving services—or it could, indeed, choose to cut council tax by £39.