Proposed by Councillor Phil Davies

Seconded by Councillor Ann McLachlan

This Council notes the continued inequity of the Government’s approach to local authority funding.

It further recognises the Government’s failings to give a fair deal for Wirral through the recently announced ‘Transitional Fund’

Council is disappointed that despite the Secretary of State claiming the fund is “To help Councils transform from dependence on central government grants to greater financial autonomy” more than 83% of the £300million fund was sent to Conservative controlled authorities.

Is disappointed that, of the 36 English Metropolitan boroughs representing 22% of the population, only 2 received any support, and they were the only two Conservative controlled authorities of Trafford and Solihull, and while Surrey, Oxfordshire and Cheshire East received millions in support, Wirral and the rest of the Liverpool City Region, received nothing.

Council is further dismayed to learn that the Conservatives locally offered no support to help address the imbalance of funding, to lobby their Westminster colleagues, or to stand up for local residents.

Therefore, Council recommends that the Leader of the Council writes to the Chancellor of the Exchequer requesting an immediate review of local government funding, the deployment of the Transitional Fund and for Wirral to receive a fair assessment and settlement to help off-set the £29million cuts he has forced upon the borough in 2016/17.

An amendment which had been circulated in advance of the meeting was submitted in accordance with Standing Order 12(1) and (9), as follows:

Proposed by Councillor Phil Gilchrist

Seconded by Councillor Dave Mitchell

Add new paragraph after paragraph 6:

‘Council notes that in the announcement of the Settlement 8 February 2016, the Secretary of State for Communities and Local Government set out ‘indicative figures’.

Council understands that the idea was and is that councils should apply for a four year budget, extending to the end of the Parliament. Further, it appears that councils have until 14 October 2016 to respond to this. As part of this process, councils were either asked or expected to translate the ‘certainty’ of a four year settlement into ‘efficiency savings’.

Council, therefore, requests officers to establish, through the Local Government Association and SIGOMA, what this means and what process is being followed.

The Secretary of State also stated that "Many councils felt that too much time has passed since the last substantial revision of the formula which assesses a council’s needs, and the costs it can be expected to incur in delivering services."

He went on to say that "On the needs formula itself, it is nearly 10 years since the current formula was last looked at thoroughly. There is good reason to believe that the demographic pressures affecting particular areas – such as the growth in the elderly population – have affected different areas in different ways, as has the cost of providing services. So I can announce that we will conduct a review of what the needs assessment formula should be in a world in which all local government spending is funded by local resources not central grant, and use it to determine the transition to 100% business rates retention."

Council requests that…

a)  urgent work is undertaken to find out what is meant by the 'review of the needs assessment formula' referred to;

b)  compilation of the information necessary to submit a case for a fair assessment of Wirral’s needs is undertaken. This shall, amongst other issues, address the difficulties in achieving the growth in the ‘New Homes Bonus’ and ‘Business Rates’ in the timescales being specified;

c)  officers submit a formal request for a meeting with the Secretary of State,  requesting that he meet with a Wirral delegation to discuss the realistic appraisal of Wirral’s needs.’

Following a debate and Councillor Phil Davies having replied, the amendment was put and carried (41:19) (One abstention).

The substantive motion, as amended, was then put and carried (41:19) (One abstention).

Resolved (41:19) (One abstention) –

(1)  This Council notes the continued inequity of the Government’s approach to local authority funding.

(2)  It further recognises the Government’s failings to give a fair deal for Wirral through the recently announced ‘Transitional Fund’

(3)  Council is disappointed that despite the Secretary of State claiming the fund is “To help Councils transform from dependence on central government grants to greater financial autonomy” more than 83% of the £300million fund was sent to Conservative controlled authorities.

(4)  Is disappointed that, of the 36 English Metropolitan boroughs representing 22% of the population, only 2 received any support, and they were the only two Conservative controlled authorities of Trafford and Solihull, and while Surrey, Oxfordshire and Cheshire East received millions in support, Wirral and the rest of the Liverpool City Region, received nothing.

(5)  Council is further dismayed to learn that the Conservatives locally offered no support to help address the imbalance of funding, to lobby their Westminster colleagues, or to stand up for local residents.

(6)  Therefore Council recommends that the Leader of the Council writes to the Chancellor of the Exchequer requesting an immediate review of local government funding, the deployment of the Transitional Fund and for Wirral to receive a fair assessment and settlement to help off-set the £29million cuts he has forced upon the borough in 2016/17.

(7)  Council notes that in the announcement of the Settlement 8 February 2016, the Secretary of State for Communities and Local Government set out ‘indicative figures’.

(8)  Council understands that the idea was and is that councils should apply for a four year budget, extending to the end of the Parliament. Further, it appears that councils have until 14 October 2016 to respond to this. As part of this process, councils were either asked or expected to translate the ‘certainty’ of a four year settlement into ‘efficiency savings’.

(9)  Council, therefore, requests officers to establish through the Local Government Association and SIGOMA what this means and what process is being followed.

(10)  The Secretary of State also stated that "Many councils felt that too much time has passed since the last substantial revision of the formula which assesses a council’s needs, and the costs it can be expected to incur in delivering services."

(11)  He went on to say that "On the needs formula itself, it is nearly 10 years since the current formula was last looked at thoroughly. There is good reason to believe that the demographic pressures affecting particular areas – such as the growth in the elderly population – have affected different areas in different ways, as has the cost of providing services. So I can announce that we will conduct a review of what the needs assessment formula should be in a world in which all local government spending is funded by local resources not central grant, and use it to determine the transition to 100% business rates retention."

(12)  Council requests that,

a)  urgent work is undertaken to find out what is meant by the 'review of the needs assessment formula' referred to;

b)  compilation of the information necessary to submit a case for a fair assessment of Wirral’s needs is undertaken. This shall, amongst other issues, address the difficulties in achieving the growth in the ‘New Homes Bonus’ and ‘Business Rates’ in the timescales being specified;

c)  officers submit a formal request for a meeting with the Secretary of State,  requesting that he meet with a Wirral delegation to discuss the realistic appraisal of Wirral’s needs.

Prior to consideration of the next motion, the Leader of the Council requested an adjournment for 10 minutes to enable Members to consider the amendment submitted by Councillor Gilchrist in respect of the Cabinet recommendations on the Employment and Appointments Committee Terms of Reference.

The Mayor then adjourned the Council at 8.55pm.

The Council reconvened at 9.05pm.