Simon Danczuk, Rochdale’s Labour Parliamentary Candidate, has welcomed the news this morning that Rochdale Council will receive £109.686 million from the Labour Government next year for local residents’ services - an increase of £3.623 million, 3.4% more than last year.

Simon Danczuk called on Rochdale Council to use the extra support to keep the Council Tax low and invest some of it in immediate action for Rochdale’s town centre.

Already many Labour councils across the country have indicated that they plan to freeze or cut council tax next year. Given the current levels of inflation and the resources being made available, the Government expects the average Band D council tax increase in 2010-11 to be the lowest for at least sixteen years.

The Labour Government has warned local councils, which in past years has squeezed local people with high rises it will put a cap on excessive council tax increases.

Simon said: “Today’s extra investment for Rochdale from the Labour Government means more support for local people and Rochdale’s schools, community groups, and public services. When Labour is making more money available there is no excuse for another eye-watering council tax rise from Rochdale’s Liberal Council – especially when council tax rises in the rest of the country are expected to be the lowest for 16 years. This is great news for Rochdale.”

John Denham, Secretary of State for Communities said: "The Labour Government is providing stability and long term investment in Local Government. This settlement means that local government has now had 13 years of above inflation increases in funding.

"This settlement of 4%, coupled with the anticipated efficiency savings that councils have identified should mean that local authorities are able to protect and improve front line services while keeping council tax rises to their lowest levels for 16 years.

Labour councils in London are leading the way with all eight having already announced that they will be freezing council tax while protecting their services"

Notes:

The Government expects the average Band D council tax increase in 2010-11 to be the lowest for at least sixteen years. More information can be found online here:
http://www.communities.gov.uk/news/corporate/1394109