chapter  6
11 Pages

Setting the limits locally

In the light of the leverage exerted on them, how do local author­ ities decide what it is appropriate to spend? We look first at a number of theories about how local authorities budget.

Theories of local budgeting

Drawing on both British and American literature it is possible to distinguish a number of distinct theories about the dominant factors that affect local officials and politicians setting local bud­ gets. Much of the literature predates the era of cuts and major central control. The most helpful studies of local budgeting in this category are Danziger (1978), Hambleton (1978), Judge (1978), Greenwood (1979), Greenwood et al. (1980a, 1980b) and Ferlie and Judge (1981). Cutting strategies were discussed in Glennerster (1980).