Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

LABOUR DOESN'T UNDERSTAND CAPITAL RECEIPTS, SAYS CURRY (HANSARD)

  • Comment
'The idea that somehow a great pile of coins is under somebody's mattress is a fundamental misunderstanding,' local...
'The idea that somehow a great pile of coins is under somebody's mattress is a fundamental misunderstanding,' local government minister David Curry said during a Commons exchange on the question of capital receipts (WA 21 Nov 1995).

Woolwich MP John Austin Walker said that it was 'madness' that capital receipts 'sit idle when thousands of families live in squalid housing conditions.

'All that the Labour party demonstrates by that argument is how little it understands about local authority finance,' said the minister.

'The Labour party cannot come to terms with the fact that if a local authority has got rid of its debt, it can spend the money on what it likes. It must be a fundamental first charge on any revenues to discharge responsibilities for debt. Once that is done, a local authority has complete freedom. That is merely prudent housekeeping,' he said.

Tory MP Jacques Arnold said talk of the money was a 'mirage'.

'The sums involved amount to slightly over £1bn, but the other side of the local government balance sheet show £37bn of local government debts.'

Mr Curry added that funds attributable to the sale of councils houses are not used for building new homes: 'because we do not believe that local authorities are the best providers of housing.'

  • Comment

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions.

Links may be included in your comments but HTML is not permitted.