Pensions, budgets, LABGI and unitaries were among the questions John Healey fielded from county leaders at the CCN conference this week. Backing unitary government, he said: ‘From next April, 44 councils will reduce to nine. The case is clear for moving further in that direction, but we have no plans for similar programmes. Much rides on those nine unitaries. If they fulfil their potential, then this will play a part in strengthening the case for moving further to unitary local government.' Asked if he could increase social services budget he replied: ‘I'll treat that question as a late case for the pre-Budget report, which is not yet done and dusted'. Another leader claimed that employer contributions to council staff pensions would have to soar because of the stock market slump. But Mr Healey, pointing out that employer contributions were capped and he was ‘reasonably confident the pension scheme is in shape', said the true picture would only be revealed at the next valuation in 2010. On LABGI, the local authority business grant incentive, he said revenue would be divided two-thirds to counties, one third to districts in two-tier areas. But there was delegates' laughter when one question proposed that grant funding to districts should be channelled through counties.
