News from the LGA conference Howard opposes CPA and regional assemblies but backs council tax

15 Jul 04
The Conservatives would scrap both Best Value and the Comprehensive Performance Assessment system for councils, but have reached no decision on what they would put in their place.

16 July 2004

The Conservatives would scrap both Best Value and the Comprehensive Performance Assessment system for councils, but have reached no decision on what they would put in their place.

In a speech marked by repeated partisan cheering and heckling, Tory leader Michael Howard told the LGA conference last week that the two regimes 'take up so much valuable staff time, cost so much and interfere so greatly in the day-to-day work of local councils'.

He continued: 'We will be consulting on what should take their place. Whatever we decide, councillors should debate the record of their council and voters decide whether it is good, bad or indifferent.'

Howard offered a partial acknowledgment that his party is still blamed within local government for centralisation. He said: 'Successive governments of both parties [have] very often been too centralist in their approach. I speak from experience, but politicians should learn from experience. I have.'

Too much discretion had been removed from councils and Labour's new localism had turned out out to be a further set of controls and inspections, he said.

He committed his party to a robust campaign for a 'no' vote in the referendums of regional assemblies due in November in the Northeast, Northwest and Yorkshire and the Humber.

He said these bodies would 'emasculate local government even further. In crucial areas like planning, housing and regeneration they would leech power up from local authorities'.

Howard devoted part of his speech to a defence of council tax and an attack on local income tax, during which he was booed by Liberal Democrat supporters.

Council tax, introduced by the previous Conservative government in 1990, 'is the most efficiently collected tax of all', he said.

'The current system of council tax may be capable of improvement but a local income tax is not the solution. The answer is to help councils to reduce their tax bills by removing some of the unnecessary and expensive regulations that currently weigh down local councils.'

New trading powers will allow sale of services

Most English councils have gained powers to trade commercially under which they can sell services to the private sector.

The deal, announced by local government minister Nick Raynsford at the LGA conference, gives councils powers they have long sought.

They will be allowed to sell services in any 'core or statutory function', for example, in cleaning, catering, refuse disposal, information technology and leisure.

Only local authorities that are rated 'excellent', 'good' or 'fair' in their Comprehensive Performance Assessment will be eligible to use the new trading powers.

Raynsford said: 'These powers should help create a dynamic and entrepreneurial public sector, which will increase diversity and choice in the delivery of public services.'

Profits generated by trading activity can be used by local authorities in whatever way they choose.

Wake up and revolt, LibDems' Davey says

Labour's new localism approach is dying, Liberal Democrat local government spokesman Edward Davey told the conference.

Speaking ahead of the government's announcement on the diminished role of local education authorities, Davey told delegates: 'You have no choice but to shout because your relationship with central government has reached a key crossroads and I think [the LGA's] credibility as a champion for local government is on the line.' Councils had been kept quiet by the 'carrot of new localism', but it had been replaced by 'the stick of new centralism', he said.

'It is time you woke up. This government is patronising you while it bypasses you,' he said, urging councillors to 'all-out revolt' over what he described as government proposals to 'nationalise education', and called on local government minister Nick Raynsford to 'talk some sense into Number 10'.

'If [David] Blunkett can demand the suspension of police chiefs, against the collective opinion of a police authority, localism is dying. If [Charles] Clarke can nationalise the financing of schools, localism is dead,' Davey said.

PFjul2004

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