Mark Whitehead 31 March 2016

Extra costs force councils to ‘crunch point’

Extra costs, resulting from a double whammy of changes, are forcing councils towards ‘crunch point,’ council chief executives have warned.

The new National Living Wage (NLW) and changes to pensions will, according to the latest figures, cost the sector more than £1bn a year.

The NLW will cost at least £337m in 2016/17, the Local Government Association (LGA) has said, and changes to pension arrangements will add a further £797m annually.

The Society of Local Authority Chief Executives (SOLACE) warned that the viability of the sector’s financial model was being called into question as a result of the extra costs.

SOLACE director Graeme McDonald said: ‘The new NLW adds a significant new burden to local government, particularly in social care.

‘This is one of a bulging list of risks that bring into question the viability of our finance model as councils face a rising tide of costs.

‘Increasing demand, new government burdens and a narrowing income base means the sector is approaching crunch point.’

To read more on this, visit The MJ (£).

SIGN UP
For your free daily news bulletin
Highways jobs

Educational Psychologist - Main Grade

Essex County Council
£43483.0000 - £63394.0000 per annum
Educational Psychologist - Main GradePermanent, Full TimeSoulbury Psychologists Scale A from 3 to 8 plus SPA opportunityLocation
Recuriter: Essex County Council

Assistant Director of Family Services & Strategic Partnerships

North Northamptonshire Council
£97,632 - £108,033
Creating Brighter Futures – Where Leadership Sparks Magic North Northamptonshire
Recuriter: North Northamptonshire Council

Assistant Director – Education, SEND and Inclusion

North Northamptonshire Council
£97,632 - £108,033
Creating Brighter Futures – Where Leadership Sparks Magic North Northamptonshire
Recuriter: North Northamptonshire Council

Casual Front Of House and Events Assistant

London Borough of Richmond upon Thames and London Borough of Wandsworth
Salary From £14.28- £18.85 Depending on Skills,
Job Title
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Contracts Officer

Durham County Council
Grade 7 £30,024 to £33,699 per annum
We are looking for an individual who has excellent customer service skills to join the team for a period of 12 months. WHAT IS INVOLVED? You will be Durham
Recuriter: Durham County Council
Linkedin Banner