Laura Sharman 21 February 2020

Councils face £19bn funding gap by 2025

Councils face £19bn funding gap by 2025 image

Councils will face a funding shortfall of £19.1bn over the next five years despite planning council tax increases, new research has shown.

Analysis by the County Councils Network (CCN) shows all the councils that have published their draft budgets so far are planning on raising council tax in April.

Of these, 116 plan to raise council tax by the full amount, and all but two will also levy the full 2% social care precept.

Despite this, CCN warns that councils face an annual funding gap of £3.8bn.

Cllr David Williams, chairman of the CCN, said: ‘No council leader wants to raise their council tax, especially after residents have faced rises over the last few years, but today’s figures show that we simply do not have a choice.

’Unfortunately – this pattern is set to continue, but even yearly council tax rises for residents over the next five years still leaves councils with a huge £19bn shortfall, meaning local politicians will need to continue to make really tough decisions to meet rising demand for services.’

County councils have suggested ministers should establish growth boards to coordinate economic development in areas that do not have elected mayors or combined authorities.

SIGN UP
For your free daily news bulletin
Highways jobs

Social Worker - Assessment and Intervention

Essex County Council
Negotiable
Social Worker - Assessment and InterventionPermanent, Full Time£30,906 to £42,254 per annumLocation
Recuriter: Essex County Council

Residential Worker

The Royal Borough of Kensington & Chelsea Council
£25,833 - £29,796 per annum
You will be part of building a strong multidisciplinary team within our children’s home, Olive House, to provide a... Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council

People Consultant

Essex County Council
£45500 - £48735 per annum
This position will initially, in line with current government guidance be based from home, with an expectation of being home based for the foreseeable England, Essex, Chelmsford
Recuriter: Essex County Council

Project Officer

London Borough of Richmond upon Thames and London Borough of Wandsworth
£36,219 to £43,887 per annum
Do you want an opportunity to stretch your skills delivering high profile development programmes across both Richmond and Wandsworth boroughs? London (Greater)
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Definitive Map Assistant

City of York Council
£20,422 to £21,552 per annum
The Council is highly committed to investing in the talent and wellbeing of our staff and can offer a generous annual leave allowance, access to... York, North Yorkshire
Recuriter: City of York Council

Public Property

Latest issue - Public Property News

This issue of Public Property examines how how flexible workspaces can lead the way in regeneration for local authorities, Why local authority intervention is key to successful urban regeneration schemes and if the Government’s challenge of embracing beauty is an opportunity for communities.

The March issue also takes a closer look at Blackburn with Darwen Council's first digital health hub to help people gain control over health and care services.

Register for your free digital issue