Local Government Act 1948
Encyclopedia
The Local Government Act 1948 was an Act
Act of Parliament
An Act of Parliament is a statute enacted as primary legislation by a national or sub-national parliament. In the Republic of Ireland the term Act of the Oireachtas is used, and in the United States the term Act of Congress is used.In Commonwealth countries, the term is used both in a narrow...

 of the Parliament of the United Kingdom
Parliament of the United Kingdom
The Parliament of the United Kingdom of Great Britain and Northern Ireland is the supreme legislative body in the United Kingdom, British Crown dependencies and British overseas territories, located in London...

. It was passed during the Labour government of Clement Attlee
Clement Attlee
Clement Richard Attlee, 1st Earl Attlee, KG, OM, CH, PC, FRS was a British Labour politician who served as the Prime Minister of the United Kingdom from 1945 to 1951, and as the Leader of the Labour Party from 1935 to 1955...

.

This Act provided for general unearmarked grants to be provided to local authorities “as nearly as possible on the basis of financial need.” It established Exchequer Equalisation Grants (EEG) as the new block grant
Block grant
In a fiscal federal form of government, a block grant is a large sum of money granted by the national government to a regional government with only general provisions as to the way it is to be spent...

 for local authorities. As noted by Ken Young and Nirmala Rao, these new grants were based on “the ratio between the average rateable value per head in each local authority and the average rateable value per head throughout the country.” The purpose of the EEG formula was to ensure that no local authority would fall below a national minimum of financial resources.

Section 132 of the Act allowed local authorities to spend up to the product of a 6d rate for the provision of music, drama, entertainment, and other cultural endeavours. According to Janet Minihan,

“Section 132 at last eliminated the need for special enabling legislation and gave local authorties uniform opportunities to encourage cultural activities throughout their districts.”
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