Heather Jameson 01 July 2020

COVID funding gap hits £7.4bn, LGA estimates

The funding gap created by COVID-19 now stands at £7.4bn, the Local Government Association has said.

Analysis of the June financial returns showed council incurred £4.8bn in extra cost pressures and income losses as a result of the pandemic.

The association now estimates the cost to councils will now reach £10.9bn. After the £3.2bn emergency funding provided by Government, and a further £300m from clinical commissioning groups, it leaves councils with the £7.4bn black hole.

Ministers are working on a ‘comprehensive plan’ to address the funding challenges, which could be announced when communities’ secretary Robert Jenrick speaks to the LGA’s virtual conference tomorrow (Thursday).

Cllr James Jamieson, LGA Chairman, said councils ‘continue to face unsustainable finance pressures’.

‘Further funding and flexibilities are now urgent if councils are to have the certainty they need to avoid taking steps, such as in-year cuts to local services, to cope with funding shortfalls. We are already starting to see this being borne out in towns halls of all political colours across the country.

‘The Government has shown a firm commitment to fully understanding the financial pressures councils are facing as a result of COVID-19 and we are pleased it is working on a comprehensive plan to address these this financial year. We urge the Government to bring forward details as soon as possible.’

SIGN UP
For your free daily news bulletin
Highways jobs

Executive Liaison Support Supervisor - Basildon Borough Council

Essex County Council
Up to £23.0400 per hour
Executive Liaison Support Supervisor - Basildon Borough CouncilBasildon, Essex £23.04 PAYE / £29.50 Umbrella Full-Time, Temporary - 36.25 hours per we England, Essex, Basildon
Recuriter: Essex County Council

Specialist Support Officer - Basildon Borough Council

Essex County Council
Up to £18.2000 per hour
Specialist Support Officer - Basildon Borough CouncilBasildon, Essex £18.20 PAYE / £23.31 Umbrella Full-Time, Temporary - until end of December 2026 3 England, Essex, Basildon
Recuriter: Essex County Council

Programme Support Officer

Durham County Council
Grade 5 £26,403 - £28,598 (Pay award pending)
Help to Shape the Creative Heartbeat of County Durham’s New Landmark    Opening in summer 2026, The Light will be County Durham’s newest cultural dest Durham
Recuriter: Durham County Council

GRT Site Warden

Durham County Council
Grade 2 £24,796 - £25,185
We are looking to recruit a Gypsy, Roma and Traveller (GRT) Site Warden to support the day-to-day management of our sites. This is an important role i Durham
Recuriter: Durham County Council

Property Assistant

Durham County Council
£25,583 to £26,824 p.a. (Grade 4) pay award pending
An opportunity has arisen within Corporate Property and Land for a full time, permanent Property Assistant based at Green Lane Council Offices, Spenny Spennymoor
Recuriter: Durham County Council
Linkedin Banner