Laura Sharman 10 December 2021

Counties face funding shortfall of over £500m next year

Counties face funding shortfall of over £500m next year image

County councils are facing a funding gap of over £500m in 2022 resulting in council tax rises or service cuts, leaders have warned today.

New analysis by the County Councils Network shows that even if the extra £1.5bn for local government in 2022/23 is targeted at addressing pressures in adult social care, it would still leave counties with a shortfall of at least £561m next year.

The leaders of England's largest councils are calling on the Government to bring forward a greater share of the Health and Care Levy for councils earlier. It wants this levy pooled with the NHS so both sides of the health service are able to receive resource from the new tax.

Cllr Tim Oliver, chairman of the County Councils Network, said: 'For council leaders, the winter period when we must set our budgets is one of the most difficult times of the year, though the government’s funding for local government in the Spending Review is a significant boost for councils and has made the process a little easier this time.

'However, it is not the silver bullet to our funding shortfall and many of us will still face a substantive gap in their finances. We recognise that our residents will be feeling the pinch after a tough 18 months with the cost of living rising, whilst some may be facing uncertain employment prospects.

'County residents already pay the highest rates and those county leaders that do propose rises of the maximum permitted will be doing so as they have little choice other than to substantively reduce local services.'

SIGN UP
For your free daily news bulletin
Highways jobs

HR Policy & Project Manager

Royal Borough of Greenwich
£51093 - £54129 per annum
HR Policy & Project Manager - 2 year fixed term / secondmentWould you like to lead impactful initiatives that drive organisational success? Are you pa England, London, Woolwich
Recuriter: Royal Borough of Greenwich

ACCESS Contract Manager

Essex County Council
£74815 - £88018 per annum
ACCESS Contract ManagerPermanent, Full TimeUp to £88,018 per annumLocation
Recuriter: Essex County Council

Change and Practice Development Manager

London Borough of Richmond upon Thames and London Borough of Wandsworth
£48,600 - £58,893

Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Assistant Director Adult Services

Milton Keynes Council
£92,706 - £99,774
An exciting opportunity has arisen to join Milton Keynes City Council as the Assistant Director of Adult Social Care. Milton Keynes, Buckinghamshire
Recuriter: Milton Keynes Council

Planning Technician

Chelmsford City Council
£24,591 to £26,007 per annum
We are looking for a confident and enthusiastic individual to work within our Development Management Service. The successful applicant will support... Chelmsford, Essex
Recuriter: Chelmsford City Council
Linkedin Banner

Partner Content

Circular highways is a necessity not an aspiration – and it’s within our grasp

Shell is helping power the journey towards a circular paving industry with Shell Bitumen LT R, a new product for roads that uses plastics destined for landfill as part of the additives to make the bitumen.

Support from Effective Energy Group for Local Authorities to Deliver £430m Sustainable Warmth Funded Energy Efficiency Projects

Effective Energy Group is now offering its support to the 40 Local Authorities who have received a share of the £430m to deliver their projects on the ground by surveying properties and installing measures.

Pay.UK – the next step in Bacs’ evolution

Dougie Belmore explains how one of the main interfaces between you and Bacs is about to change.