26 January 2001
London Mayor Ken Livingstone faces a showdown with the Greater London Assembly over his controversial budget after public clashes with members this week.
Livingstone stood by his guns as he presented his £440m budget for the first time to the GLA on January 24, but ran into immediate opposition from members over the proposed 31% increase in the precept, which will force significant council tax rises.
Taxpayers in London will have to pay an extra 73p a week if Livingstone's budget is approved as it stands. The assembly will vote on the budget on February 15. Assembly members proposed reducing the increase to 18%, but the meeting broke up without agreement.
According to Livingstone, the rise is needed to improve an overstretched police service which has been underfunded by government.
He told the GLA budget committee meeting: '73p is a small price to pay for more police on the streets fighting crime. I believe Londoners do support these investments.
'This is the first step to improving the police service – we have to provide the means as well as the ways. Those who say it can be done for less are wrong.'
More than £300m will be given to the police force to recruit 1,050 more police officers, if Livingstone gets his way. The money will also be used to enhance forensic capabilities as well as increasing civil staff recruitment and retention.
Livingstone also came under fire over his proposed £23.6m for the transport authority, Transport for London. The money would be used by TfL, which already runs London's bus services and is set to take over the Tube from London Underground, for initiatives to reduce congestion, increase rail capacity and make London buses more efficient.
Toby Harris, leader of the Labour group on the assembly and chairman of the Metropolitan Police Authority, said: 'The Labour group are proposing a series of reductions in the budget that will not damage these key objectives but deliver a precept increase at around half of the mayor's initial proposals.
'We believe that the proposed increase in the precept is unnecessarily high and could be substantially reduced without any significant damage.'
Sir Robin Wales, chair of the Association of London Government, which has also voiced opposition to Livingstone's proposals, said: 'It's the duty of the mayor and the assembly to increase the number of police in the capital while keeping potential rises in council tax to a minimum. We are seeking a meeting with the mayor to discuss the best way forward for London.'
PFjan2001
