Councils control only 5% of local spending

The lack of control councils have over public money spent in their area has been laid bare by new research produced by a flagship government efficiency programme.

The Total Place programme has found that while public bodies spend £7,000 per person on local services such as health, education and care for the elderly, only £350 of that is controlled by local politicians.

The government programme, which has mapped public spending in 13 localities with a view to finding significant savings, is to discuss some initial findings before submitting a dossier to the pre-Budget report.

The Local Government Association slammed the findings, stating that the figures showed the lack of control local people have over how money is spent in their area.

In a speech to a Total Place summit, David Parsons, chairman of the LGA Improvement Board, said: “It is absurd that people do not have a bigger say over how their taxes are spent in the area they live.

“During these tough times democratically elected councils have a vital role to play if people are to get the local services they demand and deserve.”

Preliminary findings revealed that in one area as many as 49 different organisations spend taxpayers’ money. These include the health service, the police, the probation service and benefits agencies.

A LGA poll carried out in September found that nearly two thirds of people (65%) think local councillors should make decisions about cuts to spending in their area. Just one in ten thinks MPs should make those decisions and fewer than three per cent would prefer officials in quangos to decide.

Is there something seriously wrong here?

Source: LGC