Ellie Ames 22 January 2024

Finance settlement ‘undermines levelling up’

Finance settlement ‘undermines levelling up’ image
Image: takasu / Shutterstock.com

The local government finance settlement failed to distribute funding fairly, council bosses have argued.

The Special Interest Group of Municipal Authorities (SIGOMA) has published its consultation response to the provisional settlement, which it said failed to direct funding to the most deprived authorities.

While the Government announced an average 6.5% increase in local government core spending power, it failed to highlight that around half of the increase comes from assumed council tax hikes of up to 5%, SIGOMA said.

The group said 20 of the councils it represents, which are some of the most deprived in England, will see an increase in core spending power below the 6.5% average increase.

SIGOMA said that because its councils have a high proportion of lower banded housing, ‘either our average (Band D) tax must be much higher than other parts of the country or that we raise much less from a comparable Band D tax rate’.

SIGOMA chair Stephen Houghton said: ‘Over the last 14 years, the method of allocating funding has been moving further and further from a needs basis, resulting in an ever-growing gap between councils in the richest and poorest areas.

‘The provisional settlement cements that trend and severely undermines any notions of “levelling up”.

‘The final settlement, expected in early February, must be used to provide additional funding for the most in-need places.’

SIGN UP
For your free daily news bulletin
Highways jobs

Educational Psychologist

North Yorkshire Council
£47,688 - £57,954 per annum, pro rata
This is an exciting time within North Yorkshire Council’s Educational Psychology service. Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

School Crossing Patrol

North Yorkshire Council
£12.85- £13.47 per hour
Do you have half an hour to spare in the morning or afternoon? Easingwold, York
Recuriter: North Yorkshire Council

Independent Reviewing Officer

North Yorkshire Council
From £47,181 up to £51,356 per annum pro rata + relocation support
The service is countywide and therefore candidates will be expected to work across other locality areas as needed to meet service demand. Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

Independent Reviewing Officer

North Yorkshire Council
From £47,181 up to £51,356 per annum pro rata + relocation support
The service is countywide and therefore candidates will be expected to work across other locality areas as needed to meet service demand. Selby, North Yorkshire
Recuriter: North Yorkshire Council

Social Worker - Family Support and Protection, North Essex

Essex County Council
£37185.0000 - £50081.0000 per annum
Social Worker - Family Support and Protection, North EssexPermanent, Full Time*£37,185 to £50,081 per annumLocation
Recuriter: Essex County Council
Linkedin Banner