[projecis like housebuilding; new schools, roads and major…]

Scan page 3

projecis like housebuilding; new schools, roads and major repairs. Some of this is part subsidised, but it still. leaves councils, with huge bills to pay which can only be covered by more loans. Thus councils find themselves permanently in hock to the bankers and speculators. * Council budgets are worked out by making an estimate of financial needs - based on expected expenditure omnexisting services and arniant dlly lew proJect • taking away:the amount covered by the government Rate Support Grant and income from rents and services and then putting the rest down to rates, which go up (or down) accordine to k: the size of the gap. Where there is a severe shortfall, then Councils begin to cut services.

What the Tories have done is to reduce 25. the amount of government grants in real cash terms- thereby forcing councils, who already planned for major rates rises to cover inflation, to cut back across the board on services.

They have also begun to clawback, sums allocated under the 'resources' element by cutting new building, projects, even ones previously approved. Since such projects are not part of existing spending, they then call these 'notional' cuts!

The only way to counter this is to begin not from what money the Tories are prepared to offer, but instead from what is needed to continue and develop existing services.

ACCESS

To do this, local labour movement bodies need direct access to the accounts in order to see the actual varieties in estimates; existing spending' and proposed: future spending.

This access also enables us to establish the amounts milked off by private contractots on various schemes, and most importantly: the extent of the bankers profiteering.

The debt charges to the bankers are the one area of spending which is not affected by the cuts. In fact, given the increase in the minimum, lending rates, councils are budget. ting to spend even more on interest this year, further boosting the record profits of the banks.

The only other item worth hunting out straight away is the allocation of money to pay for places at public schools. This is an increase which the Tories have specifically encouraged, which takes cash direct from other services, 'and particularly from state education.

Each of these, the massive payments to the banks, the rip-off contracts with private firms, and the free gifts to private education, are at the direct expense of the working class. And the rate rises, much loved by left' talking Labour councillors, are just as much an attack on living standards. • POOREST FAMILIES Rates are what is called a regressive' tax-that is, one which hits hardest at the poorest families.

So any rise in rates always leaves working class families proportionately worse offithan the wealthy dwellers in green-belt suburbia.

In fact, you might try comparing the rates of an ordinary semi in town with those country. You'll get a shock!

But what you will also have then is a hattery of armamarits for finhtion tha Tasi cuts, demanding that public spending is: organised to benefit working people instead of the bankers, businessmen and their mates at the council offices.

You'll also have the evidence to demon Line case Ior cancelung the debt charges, fighting the rate rises and organising spending to meet actual needs.

And above all, you'll have an irrefutable case for abolishing the anarchy of capitalist economic planning and organising public spending on the basis of a planned socialist economy.

Only on that basis can society organise to cater for the actual needs of people.

CANCEL THE DEBT CHARGES-OPEN THE BOOKS-FOR A TRADE UNION ENQUIRY INTO-ALL PUBLIC SPENDING -PROTECT PUBLIC EXPENDITURE THROUGH A SLIDING SCALE OF SPENDING TIED TO THE REAL RISE IN THE COST OF LIVING AS ASSESSED BY COMMITTEES OF TRADE UNIONISTS, HOUSEWIVES AND TENANTS.

----- pull-quotes -----

SAL: of one of those gabled palaces out in the