An extended version of this paper was
prepared as part of the Centre for Planning's Series “Strathclyde
Papers On Planning”, under the title “The Future Of
Local Economic Development: The Impact of the Local Government and Housing
Bill and the White Papers ‘Employment for the 1990s’
and ‘Scottish
Enterprise’”.
2.
For example, in 1982, the Government
suggested that economic development expenditure be limited to the product of
a half penny rate in the pound. This suggestion was never implemented, in
part as it was severely criticised by local authorities of all political
persuasions.
3.
House of Commons,
“Local Government and Housing
Bill”, Bill 53,
50/2, HMSO,
January 1989.
4.
Secretary of State for the Environment(a) “The Conduct of Local Authority
Business. Report of the Committee of Inquiry into the Conduct of Local
Authority Business”, Cmnd 9797,
HMSO, June 1986.
5.
Department of the Environment,
“Local Authorities' Interests in Companies: A
Consultation Paper”, Department of the
Environment, June 1988.
6.
Secretary of State for the Environment(b) “The Conduct of Local Authority
Business: The Government Response to the Report of the Widdicombe Committee
of Inquiry”, Cm 433,
HMSO, July 1988.
7.
Secretary of State for the Environment(b), op cit, Chapter VII,
“Economic Development by Local
Authorities”, pp.
33–35.
8.
Under these Sections local authorities may
spend up to the product of a 2p rate in the pound on things which, in their
opinion, are in the interests of their area or its residents. Expenditure
under these sections must not, however, be made if it could be authorised
under other legislation.
9.
Secretary of State for the Environment(b), op cit, Paragraph 7.13, p.
35.
10.
House of Commons, op
cit, Clause25 (1), p. 32.
11.
Ibid, Clause25 (2), p. 32.
12.
GummerJ., quoted inWinetrobeK., “Local Government and Housing Bill
(Bill 53 of 1988–89) Local Government Finance”, House
of Commons Library Research Division, Reference
Sheet No 89/2, February 1989, p.
8.
13.
Ibid, p.
9.
14.
Secretary of State for the Environment(b), op cit, paragraph 7.15, p.
35.
15.
House of Commons, op
cit, Clause26 (3), p. 33.
16.
Ibid, Clause27 (3).
17.
Ibid, Part V
“Companies in Which Local Authorities Have
Interests”, Clauses 56 to 62,
pp. 60–67.
18.
Ibid, Clause59(1), p. 64.
19.
Ibid, Clause59(3), p. 65.
20.
Ibid, Clause30(5) to (7), pp.
38–39.
21.
Ibid, Clause57 (6) (e).
22.
WardS., “Hackney Enterprise
Board”, Local Economic Development
Information Service (LEDIS), Initiative A342, Planning Exchange,
April 1988.
23.
WoodcockC., “Co-operative Bank ready to take
control of GLEB”, The Guardian,
2ndFebruary 1989.
24.
For example: the West Midlands Enterprise Board has
set up a Regional Unit Trust with Lazard Securities; Yorkshire Enterprise is
involved in partnerships with the Yorkshire Bank and the Bank of Nova Scotia;
whilst Lancashire Enterprise has a link with Rothschild and Sons.
25.
For example in the 1988 British Venture Capital
Association's Directory, of the 90 full members 20 indicated that they h a d a
regional investment preference.
26.
House of Commons, op
cit, Clause60 (2) (a), p .
65
27.
GummerJ., op cit, p. 29.
28.
SparksDavid, Vice Chairman of the West Midlands Enterprise
Board, quoted in HoskingP., “Bill may bar council shares in local
firms”, The Independent, 6
February 1989, op cit.
29.
Employment Department,
“Employment for the 1990s”, Cm 540,
HMSO, December
1988.
30.
Industry Department for Scotland,
“Scottish Enterprise. A New Approach to Training
and Enterprise Creation”, Cm
534, HMSO, December
1988.
31.
HaytonK., “The Future Of Local Economic
Development: The Impact of the Local Government and Housing Bill and the
White Papers ‘Employment for the 1990s’ and
‘Scottish Enterprise’”,
Strathclyde Papers On Planning, No. 13,
Centre for Planning, University of
Strathclyde, March 1989.
