It’s no secret that council budgets are likely to be cut again when the details of this month’s Spending Review are announced. The reality is that there is no more money, so wringing our hands won’t help.
Local authorities need to do things differently – and the Government can help by giving us new powers to deliver services in more innovative ways.
To give you an example: last year, Westminster, Kensington and Chelsea and Hammersmith and Fulham councils collectively submitted a number of proposals to central government as part of the Community Budget initiative.
Philippa Roe is leader of Westminster City Council. These include creating an employment passport for teenagers seeking work experience; offering a business rates reduction to companies that take on local young people; borrowing against the value of our housing stock to build hundreds of new homes and saving £66m by integrating health and social care.
We also believe we can go further if the Government allows London the City Deal status already in place for cities like Newcastle, Birmingham and Bristol. The uniqueness of central London should be recognised in how it is run, and we believe benefits like new jobs and growth will result from greater devolution for the capital.
However, we believe that devolution in the capital should go further. The London Finance Commission recently recommended that the capital retains a much greater share of the resources it generates. I agree.
London local government is setting the pace for the reform of public services and we have proved that we can save money while delivering improved services. A buoyant London also benefits the rest of UK plc. However, if we are to continue to do this then central government must give the tools for the job.
The chancellor has an opportunity with the Spending Review to do exactly this and he must seize this opportunity and be radical in his measures.
