Cameron moots new powers for 'sustainable communities'

Friday, 3 November 2006 12:00 AM

Local councils would be able to demand details of how central government grants have been spent in their area under new plans put forward by the Conservatives.

Authorities would then have the power to consult local people and draw up their own spending plans, based on the needs of their communities rather than Whitehall priorities.

Under the proposed bill, the only thing governing their budgets would be a national action plan setting out the characteristics of the "sustainable community" they must aim to create.

This includes ensuring affordable housing and shops in the neighbourhood, sourcing goods, services and food locally, working to improve the local economy and employment, tackling social exclusion and poverty and promoting civic engagement.

"It is by permitting local communities to develop their own priorities and their own innovations that we will produce a far higher general standard," Tory leader David Cameron said today.

He argued: "Councils should be the collective instrument of local people rather than the local outposts of central government.

"Conservatives will give greater powers to local councils, by reducing the reach of Whitehall, unelected quangos, and the new regional bodies."

However, local government secretary Ruth Kelly said the Tories' sustainable communities bill proved Mr Cameron was copying the government's white paper on councils, published only last week, or had "simply not bothered to read" the proposals.

"If he wishes to see devolution of power to local communities, and greater powers and freedom for local government, then he should get behind the local government white paper which was launched last week," she said.

This would "radically reduce ring-fenced funding" and national targets for councils, Ms Kelly argued, as well as give new powers to councils and councillors.

"Local government will find it hard to trust the Tories on funding as under the last four years of the Tories, they were starved of cash and resources and saw a real terms cut in grant of seven percent."

Under the Conservatives' proposals, councils would have six months from receiving details of government spending in their area to draw up their own alternative plans, in consultation with the public.

When approved, ministers would be responsible for ensuring government departments provided the necessary funding within the overall budget, and make an annual report on the progress of these local spending plans across the country.

"Such a measure would significantly alter the balance of power in favour of local councils and local communities," Mr Cameron.

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