Denham right to reform quango accountability

July 21, 2009


Reacting to today’s CLG consultation paper Strengthening Local Democracy, Director of the New Local Government Network Chris Leslie said that moves to give local councillors sweeping new powers to cross-examine energy firms, water companies, telephone and broadband providers were very welcome.

He said that proposals to give councils greater scrutiny over all local public services, whether publicly or privately owned, was a “refreshing step towards revitalised local government” – an issue that NLGN has recently campaigned for – and would help to give local communities greater accountability over how their money is spent on local services.

Leslie also welcomed a specific aspiration in the document for local authorities to play a more prominent role in tackling climate change – with a framework of incentives to encourage carbon trading between communities – a policy advocated by NLGN in its report, Carbon Footprints, Local Steps, in 2007.

Denham also hinted that the Government may be willing to adopt NLGN’s proposal for pilot arrangements where local councils appoint PCT non-executive directors. “This would send a radical message about democratising local quangos” said Leslie.

Commenting on the proposal for a new Joint Select Committee of both Houses of Parliament tasked with vetting legislation to ensure new laws devolve powers to local level, Mr Leslie said: “We argued in February that the legislative process should have this checking mechanism to prevent unnecessary centralisation and there is consensus in Parliament now to make this change.”

While welcoming the possibility of overturning the Court of Appeal judgement specifically allowing councils to bulk purchase mutual insurance, Leslie urged Ministers to go further: “A general permissive power to allow councils freedom to act without constraints is still essential if the innovation and efficiency agenda is to advance – and we will campaign for this over the summer months.”

Mr Leslie said:“While we would have liked more boldness on the balance of finance and distribution of power between Whitehall and localities, the consultation paper is comprehensive and opens the door to potentially radical change. In particular, the current Local Democracy, Economic Development & Construction Bill may still be in Parliament when this consultation ends and we hope Ministers will take the opportunity to amend it.”

Download the Strengthening local democracy: Consultation


Explore More