William Eichler 16 October 2025

England’s councils face poorest finances since 2010

England’s councils face poorest finances since 2010 image
© Ink Drop / Shutterstock.com.

Local authorities in England are set to be poorer by the end of this parliament than they were in 2010, according to a new analysis by the Institute for Government (IfG).

The Public Services Performance Tracker 2025 found that one in six upper-tier authorities will rely on emergency funding in 2025/26, while reserves have fallen to their lowest levels since 2011/12.

Over two-thirds of council spending now goes on adult and children’s social care, up from around half in 2009/10, with the cost of adult social care rising faster than inflation for the past decade.

Supported by the Nuffield Foundation, the report also highlighted that only two of the 68 local authorities assessed by the Care Quality Commission achieved an ‘outstanding’ rating.

Spending on children’s social care has doubled relative to the growth in children in care, while a shortage of fostering households continues to strain the system.

Meanwhile, pressures from homelessness have intensified. Net spending on temporary accommodation has increased nineteen-fold since 2009/10, and one in 200 households now lives in temporary housing.

To read more about the upcoming Autumn Budget check out the following from our Autumn Budget Insights series: The local government balancing act by Jonathan Werran, chief executive of Localis.

SIGN UP
For your free daily news bulletin
Highways jobs

Senior/Principal Regeneration Officer

Fareham Borough Council
£45,465 - £55,379
Our town centre regeneration is moving from planning to delivery, and we're looking for someone who wants to help make regeneration happen. Fareham, Hampshire
Recuriter: Fareham Borough Council

Kinship Supervising Social Worker - North Essex

Essex County Council
£38478.0000 - £51834.0000 per annum
. England, Essex, Chelmsford
Recuriter: Essex County Council

Assistant Director of Finance (DS151)

Rochdale BC
£82,028 - £94,797 + £7,000 responsibilities allowance
This is an influential role, offering the opportunity to lead established teams across finance, revenues and benefits, internal audit Rochdale, Greater Manchester
Recuriter: Rochdale BC

ICT Business Support and Digital Adoption Officer

Essex County Council
£32319.00 - £36900.00 per annum + Pension
ICT Business Support and Digital Adoption Officer - Braintree District CouncilBraintree District CouncilPermanent, Full TimeSalary £32,319 to £36,900 England, Essex, Braintree
Recuriter: Essex County Council

Director of Law & Corporate Governance (Monitoring Officer)

Northumberland County Council
£ 143,779 - £158,197
With the forthcoming retirement of our current postholder, we are seeking an outstanding leader Northumberland
Recuriter: Northumberland County Council
Linkedin Banner