Tyne and Wear Fire and Rescue Service
Debate between Sharon Hodgson and Nick Hurd(5 years, 5 months ago)
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Mrs Hodgson
The Minister is talking about the reserves overall, for all the fire and rescue services. He says he has seen the reserve situation for Tyne and Wear. Does he acknowledge that although there may currently be £28.5 million, 86% of that money is earmarked to meet key, specific financial risks? Does he also acknowledge that in four years’ time those reserves will be down to £11 million, so they cannot be used? That money can only be used once and the authority is spending it, so it will only be left with reserves of £11 million in four years’ time.
Mr Hurd
My point is specific to Tyne and Wear: I am pushing back on the assertion that fire and rescue authorities have been starved of cash, as the fire and rescue authority is sitting on reserves worth 52%. That is the figure for Tyne and Wear—52% of spending power. There is a lot of talk about this money being earmarked. Let us be clear that anything above general reserves represents active choices made by the fire and rescue authority and the leadership. Those are the active choices that they make. Looking at the numbers, that includes £6 million now for the transformation reform reserves, a capital development budget—these are active choices that they are making. It is public money. The simple point I make is about the need for greater accountability and transparency.
That does not in any way detract from the need to revisit the fair funding formula and the comprehensive spending review, which is what I want to address. I have been challenged on reserves and I am explaining that this is constituents’ money—public money—sitting in reserve. The public have a right to understand how that money is going to be spent to improve the service to them. I would struggle if anyone could challenge that premise.