I'm always torn on this issue. On the one hand, you're right, public services should be about need and we should mitigate things like geography as much as possible. On the other hand, there are benefits and drawbacks to wherever you live, and that's sort of part of the choice on where one lives. Even within tiny areas like just taking the middle of London into account (and I say that due to my familiarity - I'm sure it's the case everywhere), the places you can get with the same money near tube stations are so much smaller than those that are relatively out of the way. You just get far more for your money. This is obviously also true nationally - deliveries and broadband might not be so good, but you can get much nicer, larger housing for less money than more well connected areas. Generally speaking, housing - whether it's rent or a mortgage - is one of the single largest outgoings of a families budget (behind tax obviously, trololol) so this is a huge equaliser in that respect; The solution to the problem of poor infrastructure in rural or far-flung parts of a country involve taking tax money from those that pay far more for their housing to make the lives of those who pay far less for their housing better. In short, to what extent should the people of Edinburgh be willing to put up with higher housing costs and higher taxes to subsidise those who live in cheaper areas?
Like I said, I'm torn on the issue.