Transfer of power to local government

Radical measures taken by the Government over the last six months will enable councils to continue to improve public services despite the tighter public spending constraints, Communities Secretary John Denham said.

Over the past ten years, the Government claims to have overseen a "steady and sustained transfer of power to local government, giving greater influence, freedoms and flexibilities to councils to act on behalf of local people using their unique democratic mandate".

Publishing the Government's response to its 'Strengthening Local Democracy' consultation, Mr Denham said the Government had moved to quickly put in place ambitious reforms that enable councils to further protect and improve public services in a tighter financial climate, by extending their influence over all local spending in their area.

Key measures proposed in the consultation include:

• Greater powers of scrutiny - Communities are being given a powerful new way to fix local problems under new proposals to strengthen the ability of councils to scrutinise local public services through a new Private Members Bill that will establish a framework for an enhanced scrutiny regime. The Bill, backed by the Government, had its second reading in the House of Commons last week. 
• Local carbon frameworks - nine pioneering areas led by councils are working with Government over the next twelve months to test new local carbon frameworks. The frameworks will promote new and more effective ways of significantly reducing carbon emissions, unlocking new income and meeting Government’s ambitions on the essential climate change agenda. This should be extended to all councils in due course. 
• Building on the Total Place pilots, Putting the Frontline First: Smarter Government published in December set out a radical vision to streamline Government and transform frontline services to put local people first. Greater transparency around public data will also let local people challenge, compare or scrutinise public services and spending. Final Total Place recommendations are due to be published at Budget. 
• Powers for local authorities to participate in mutual insurance companies were urgently introduced and enacted in the Local Democracy, Economic Development and Construction (LDEDC) Act 2009 in light of the London Authorities Mutual Limited (LAML) court judgement. In addition the earliest legislative opportunity will be sought to further develop the framework of local authority powers to ensure that councils can deliver other efficiency and cost savings measures. 
• The LDEDC Act also introduced a new framework by which councils can be given the power to set up joint scrutiny committees and provides for new sub-regional working arrangements. The Act also gives real teeth to local petitions so people can demand their councils take action. The Government proposes to develop guidance for councils on how best to carry out sub-regional scrutiny. 
• The Government considers there is merit, given the favourable local support, in exploring further, with the House Authorities, the establishment of a joint select committee to examine how the work of central government impacts on the ability of local government to fulfil its role.