Martin Ford 20 December 2022

District concern in wake of finance settlement

District concern in wake of finance settlement image
Image: EtiAmmos/Shutterstock.com.

Concern over funding for districts has been voiced following the announcement of the provisional local government finance settlement for 2023-24.

The total settlement, which represents a 9% increase on the previous year, amounts to £59.5bn, including a health and social care grant of about £2bn.

Government claimed the settlement will ensure every local authority in England will benefit from at least a 3% increase in core spending power before council tax rises are taken into account.

The District Councils' Network has calculated the core spending increase for its members will be 5% - below the rate of inflation - if all authorities raised council tax to the maximum allowed without a referendum, compared to 9% for all councils.

It is expected to ask for the council tax referendum threshold to be increased from £5 to £10 to compensate in its consultation response.

The County Councils' Network said the settlement was ‘slightly below expectations for some of our member councils’.

Local Government Association chairman James Jamieson said: ‘Underlying and existing pressures remain for councils, and many still face significant challenges when setting their budgets and trying to protect services from cutbacks.

‘Shire district councils – which provide vital services like planning and waste and recycling collection – will also see a lower core spending power increase next year, which is something the Government should address in the final settlement.'

Chair of the Special Interest Group of Municipal Authorities, Sir Stephen Houghton, welcomed slightly larger increases for councils in more deprived areas, but said the settlement ‘fails to provide certainty or financial security for councils’.

He added: ‘Council tax will do much of the heavy lifting, and council leaders face an impossible choice between increasing council tax on hard-pressed families during a cost of living crisis and potentially having to cut back on vital front-line services.’

The Government also announced a new £100m scheme to shield vulnerable households from council tax increases.

Levelling up secretary Michael Gove said: ‘Local government plays an absolutely vital role in helping us to level up, support the most vulnerable and deliver key services that people rely on every single day.

‘We recognise the pressures councils are facing right now, and this spending boost will provide the support and funding local authorities need to continue delivering first-rate public services.’

This article was originally published by The MJ (£).

SIGN UP
For your free daily news bulletin
Highways jobs

Head of Corporate Development

Devon & Cornwall Police
Starts at £75,201 rising by yearly increments to a maximum of £84,534 per annum
We are welcoming applications for the role of Head of Corporate Development with Devon & Cornwall Police based at Exeter Devon
Recuriter: Devon & Cornwall Police

Payroll Project Specialist

Essex County Council
Up to £148.8800 per day
Payroll Project Specialist x2£148.88 PAYE / £193.782 Umbrella daily rate Up To 6-Month Fixed Term (with potential extension) Essex County Council - England, Essex, Chelmsford
Recuriter: Essex County Council

Senior Business Development Officer (MaaS)

Essex County Council
£36341.0000 - £42754.0000 per annum
Senior Business Development Officer (MaaS)Fixed Term, 2-year contract with potential for extension Full Time, 37 hours per week£36,341 to £42,754 per England, Essex, Chelmsford
Recuriter: Essex County Council

Senior Finance BP - Epping Forest District Council

Essex County Council
Up to £55307.0000 per annum
Senior Finance Business Partner - Epping Forest District CouncilFull-Time, Permanent 37 Hours per Week £55,307 + £10,000 Market Supplement Closing Dat England, Essex
Recuriter: Essex County Council

Mechanical Design Engineer

Durham County Council
Career Grade 9 to 12 (G9 £35,412 - £39,152) (G10 £38,220 - £41,771) (G11 £40,777 - £45,091) (G12 £44,075 - £48,226) per annum
The Construction Consultancy Services (CCS) team provide client-side construction consultancy services across a range of professional disciplines to d Durham
Recuriter: Durham County Council
Linkedin Banner