I am not sure, because how the set-aside ends up being used is fundamental. Will it simply go to the Treasury, and we never see it again? Alternatively, will Department for Communities and Local Government or other Ministers say, ““We used to fund certain council services, and now we will use set-aside for that.”” It will save central Government money. A classic example is the requirement on local authorities to fund 10% of the cost of council tax benefits in the first year—that will almost certainly rise if unemployment rises. What will stop Ministers saying in future, ““We have already established 10%, so next year it will be 20%, 30% or 40%””? That will bring no benefit in council services or to local taxpayers or councils; it is just a saving to the Treasury. From a Minister's point of view, however, it is a neat way of linking two parts of the Bill together.
Local Government Finance Bill
Proceeding contribution from
Clive Betts
(Labour)
in the House of Commons on Wednesday, 18 January 2012.
It occurred during Debate on bills
and
Committee of the Whole House (HC) on Local Government Finance Bill.
Type
Proceeding contribution
Reference
538 c832 
Session
2010-12
Chamber / Committee
House of Commons chamber
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