Burstow: Poorest in Sutton suffer 'double disadvantage' from unfair government settlement

12.00.00am GMT Fri 1st Dec 2006

Paul Burstow, MP for Sutton and Cheam has succeeded in his efforts to get the Minister for Local Government Finance, Phil Woolas, to meet with him to discuss the unfair finance deal which Sutton receives from the Labour Government.

All local authorities rely on a grant from central government to cover up to two thirds of their expenditure. Allocation of these funds is based on an analysis of deprivation; in addition, certain boroughs receive targeted grants to deal with areas where there are large numbers of people living in poverty.

Mr Burstow pushed the Minister to acknowledge the "double disadvantage" suffered by his constituents, because average incomes in Sutton are high relative to other boroughs; and because there are distinct pockets of poverty that are masked by the general affluence. The result is that Sutton receives less money to provide Council services.

Mr Burstow expressed his view that those in government regard Sutton as a "leafy suburb", disadvantaging the poorest in the borough.

Speaking after the debate, Paul Burstow MP, said:

"I am glad that Mr Woolas has agreed to meet with me to discuss this important matter: the current system for allocating funding to local authorities is biased against places like Sutton."

"Relative affluence across the whole population hides the very real poverty which some in our community suffer."

"As long as the government fails to realise and respond to this problem, I fear that Sutton Council will be forced to make tough decisions at a local level, which end up with a double whammy of rising Council tax bills and service cuts."