Ellie Ames 25 October 2024

English councils face £9.3bn deficit by 2026-27

English councils face £9.3bn deficit by 2026-27 image
Image: Andrzej Rostek / Shutterstock.com

New analysis has uncovered a £9.3bn funding shortfall facing councils in England by 2026-27.

Researchers from Cambridge’s Bennett Institute for Public Policy and Newcastle University found that 96% of local authorities forecast a funding shortfall in their medium term financial strategies.

Just 14 of England’s 317 councils said they would be able to balance their budgets or be in a surplus at the end of the period.

Report co-author Andy Pike said ‘nothing short of radical change’ was needed to protect local services.

It comes as four local government associations made a joint call for the removal of siloed and short-term funding streams as part of an ‘urgent’ review of the sector’s funding.

The associations, which represent leaders in place services, children’s services, adult social services and public health, also urged the Government to introduce multi-year funding settlements and provide clarity on funding pots like the Household Support Fund, the Homelessness Prevention Grant and the Shared Prosperity Fund.

The president of the Association of Directors of Environment, Economy, Planning and Transport (ADEPT), Ann Carruthers, said local government needed ‘a funding model that allows us to plan long term, sustainable solutions for our communities and the environment’.

At a ‘pivotal’ moment for children and amid evidence that their life chances are ‘stalling or even deteriorating’, the Budget must invest in children, young people and their families, the president of the Association of Directors of Children's Services, Andy Smith, added.

The president of the Association of Directors of Adult Social Services, Melanie Williams, also urged ministers to work with local government to deliver a ‘long term, sustainably funded plan’ for adult social care.

Association of Directors of Public Health president Greg Fell added: ‘To be able to implement policies that will support people to have better outcomes, we need consistent, adequate funding, and investment in a properly trained and supported workforce.’

SIGN UP
For your free daily news bulletin
Highways jobs

Director of Place Based Growth

London Borough of Richmond upon Thames and London Borough of Wandsworth
£Competitive
Driving development, inward investment and economic growth. Richmond upon Thames, London (Greater)
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Director of Place Planning

London Borough of Richmond upon Thames and London Borough of Wandsworth
£Competitive
Leading place making policies and development management. Richmond upon Thames, London (Greater)
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Executive Director, Place and Customer

Essex County Council
up to £179,404 per annum
Shape the Future of Essex. Drive climate action. Deliver for our communities.Essex is on the government's Priority Programme for Local Government Ref England, Essex, Chelmsford
Recuriter: Essex County Council

Waste Services Operative

Hyndburn Borough Council
£26,403 to £28,142 per annum
The successful candidate will be joining the Council’s extremely successful Waste Services team Accrington, Lancashire
Recuriter: Hyndburn Borough Council

Waste Service Team Leader/Driver Cat C

Hyndburn Borough Council
£31,537 - £33,699 per annum
Above all, you must take pride in your work and be willing to make a difference to the overall cleanliness of the Borough. North East Lincolnshire
Recuriter: Hyndburn Borough Council
Linkedin Banner