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

Solutions Architect

Essex County Council
£51563.0000 - £60662.0000 per annum
Solutions ArchitectPermanent, Full Time£51,563 to £60,662 per annumLocation
Recuriter: Essex County Council

Specialist Senior Educational Psychologist

Essex County Council
£59809.00 - £63638.00 per annum
Specialist Senior Educational PsychologistPermanent, Full TimeSoulbury Scale B from 3 to 5 plus SPA Location
Recuriter: Essex County Council

Family Worker (Link Role) - 12 month FTC

Essex County Council
£33049.00 - £37698.00 per annum + + 26 Days Leave & Local Gov Pension
Family Worker (Link Role)Fixed Term, Full Time£33,049 to £37,698 Per AnnumLocation
Recuriter: Essex County Council

Cleaner

North Yorkshire Council
£13.28 per hour
You will be responsible for the cleaning duties on site including dusting, vacuuming and the cleaning of sanitary fittings. Whitby, North Yorkshire
Recuriter: North Yorkshire Council

Cleaner and Caretaker

North Yorkshire Council
£13.28- £13.92 per hour
We are looking for a motivated individual to provide a combination of caretaking and cleaning services at 2 of our village schools. York, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner