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Local Government: Finance

My Lords, we should be clear that the working neighbourhoods grant was just a three-year fund. There was no expectation—and no money was put aside—for it to continue for longer than three years. The noble Baroness shakes her head, but that is the situation. The previous Government could have decided to continue it, but they did not make that decision; they left it as a three-year grant. The noble Baroness asked where the other money will come from. We have set up a £1.4 billion regional growth fund, which will be administered by the noble Lord, Lord Heseltine. Councils and local enterprise partnerships will be able to bid for money from that fund, which will be available in particular for private sector-led growth. The expectation is that local councils will work closely with the private sector, not only in local enterprise partnerships but in general, so they will be able to lean on that sector for additional assets.