CAB128-94_A1b — Page 86

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a

generate

further round of protests from Members representing areas where the community charge was expected to be above £275. Such protests ought, however, to be directed not at the Government but instead at the local authorities in question for proposing to spend above the standard spending

assessment.

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d. The expected community charge was now, for certain authorities, greatly in excess of the estimates which had been promulgated in the previous year. This was mainly attributable to the unwinding of various creative accounting

rangements by the local authorities in question.

In explaining the benefits of the new community charge stem, it would be helpful to draw comparisons between the charges imposed by prudent authorities and those imposed by profligate authorities in order to demonstrate the scope for reducing the bills in high-charge areas.

f. It rape important to continue to emphasise that the community ch accounted for only a small proportion of local goverpent expenditure, amounting to 25 per cent in England, 18 p ent in Wales and 14 per cent in Scotland. The very much er central Government contribution was funded out of taxes hich were payable to the Exchequer on a progressive basis

g.

Some Government funding of education concerned hoped

that

enchers had been pressing for the taken over by the Exchequer. Those is would be accompanied by a action expenditure. It would be

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substantial increase in

helpful if colleagues couake the opportunity to make clear that the Government had intention of moving in that direction.

h. Around nine million of thess well-off would receive rebates from the taxpayer amounting to 80 per cent of their community charge. While the income support payable to such people had been adjusted by a sum which for some would exceed the contribution which they would be reed to make towards their community charge, there was a is that recipients would fail to relate this increase to the ntibution to the community charge which they would be call

to pay. would accordingly be useful for the Government emphasise

It

the linkage between the increase in income so contribution which recipients would be requ toward their community charge.

and the

to make

THE PRIME MINISTER, summing up the discussion, said t the new safety net arrangements, those living in gaining

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