Central grants to local governments are a major aspect of public policy
in all western economies. This book has two main aims: first, it seeks
to relate central grants to the overall structure of taxes and
expenditures of the economy as a whole, and second, it draws together
for the first time a major set of empirical evidence on one major grant
programme standing at £12,000 million in 1982, the Rate Support Grant in
England and Wales. The thesis of the book is developed in three parts.
Part one examines the objectives of central grant programmes: namely,
need, resource and cost equalisation. Part two of the book develops a
detailed empirical analysis of the Rate Support Grant and highlights
those areas which have been relatively advantaged and disadvantaged in
grant allocation. In part three the discussion is extended to an
examination of the full interrelation of central grants with local taxes
and expenditures. This leads to the main conclusions of the book, which
are developed as a set of suggested reforms to local revenues in
Britain.