Laura Sharman 29 May 2020

Councils will need £6bn to balance budgets this year, says LGA

Councils will need another £6bn to cover the costs and lost income caused by the coronavirus crisis, the Local Government Association (LGA) has warned.

The LGA analysis of May’s returns shows that the emergency funding provided by Government has fully met the extra Covid-19 costs and losses of income over the past three months.

However, councils could need as much as £6bn more to cover the costs of coping with the coronavirus pandemic during this financial year. Nearly two-thirds of this funding would be needed to cover lost income, while the rest would be needed to cover extra cost pressures as a result of the pandemic.

It warned that without knowing when further funding will be received, councils may be forced to make in-year cuts to local services.

Cllr James Jamieson, LGA chairman, said: ‘Concerns remain about the ongoing financial pressures ahead. Councils will need further funding and financial flexibilities in the weeks and months ahead to meet ongoing COVID-19 pressures and to keep services running normally.

’Certainty around this is desperately-needed so councils can balance their budgets this year and take vital decisions about how to pay for vital local services next year.’

SIGN UP
For your free daily news bulletin
Highways jobs

Senior Media Officer

Northumberland County Council
£33,558
Building strong communities, transforming lives and delivering value for money – just a snapshot of our current priorities. Leicester, Leicestershire
Recuriter: Northumberland County Council

Performance and Information Service Manager

Blaby District Council
£38,553 - £41,591
We are proud of our Council and, truly aspire to Blaby District being a great place in which to Live, Work and Visit. Blaby, Leicester
Recuriter: Blaby District Council

Team Leader - Data Management

London Borough of Richmond upon Thames and London Borough of Wandsworth
£34,131 to £41,361
We are looking for a highly motivated and enthusiastic individual to join our Pensions Shared Service. Wandsworth, London (Greater)
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Group Leader Highway Development Control - NPPP

Torfaen County Borough Council
£43,570 to £49,705
The Highway Development Control Group’s work is integral to the future development of Torfaen. Torfaen (Tor-faen)
Recuriter: Torfaen County Borough Council

Law and Governance Service Manager

Blaby District Council
£46,662 - £47,665
We are proud of our Council and, truly aspire to Blaby District being a great place in which to Live, Work and Visit. Blaby, Leicester
Recuriter: Blaby District Council

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.