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 (£).

What’s happening inside the LGPS? image

What’s happening inside the LGPS?

Get the most informed take on the challenges and opportunities that substantial reform will bring at this year’s PLSA Local Authority Conference.
SIGN UP
For your free daily news bulletin
Highways jobs

Registered Building Inspector (Band 2/Grade 7)

Health and Safety Executive
£60,760 - £65,776
The Building Safety Regulator (BSR) is transforming building safety regulation across England. United Kingdom / various Locations
Recuriter: Health and Safety Executive

Revenues and Recovery Team Leader

Ashfield District Council
£37,938 - £40,476 per annum (pay award pending)
We have an exciting opportunity for a Revenues and Recovery Team Leader Sutton-In-Ashfield, Nottinghamshire
Recuriter: Ashfield District Council

Housing Options Officer

Ashfield District Council
£31,067 - £33,366 per annum (pay award pending)
Do you want to make a real difference to the lives of residents in housing need? Sutton-In-Ashfield, Nottinghamshire
Recuriter: Ashfield District Council

Building Services Operative

Ashfield District Council
£25,584 - £27,269 per annum (pay award pending)
The Facilities team are looking to recruit an enthusiastic individual Sutton-In-Ashfield, Nottinghamshire
Recuriter: Ashfield District Council

Street Cleansing Technician (CDC)

City Of Doncaster Council
Grade 5, £24,397 per annum (pay award pending)
Do you enjoy working outside, as part of a team that make a direct difference to the communities of Doncaster? Doncaster, South Yorkshire
Recuriter: City Of Doncaster Council
Linkedin Banner