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

Transport and Major Work Manager

Slough Borough Council
£54,556 to £60,085 per year Inclusive of Local Weighting Allowance of £1096
Drive the future of transport and infrastructure in Slough Slough, Berkshire
Recuriter: Slough Borough Council

Head of Property & Regeneration

Swansea Council
£88,633 - £100,994
We are seeking to appoint an outstanding and experienced professional Swansea (Abertawe)
Recuriter: Swansea Council

Social Worker - Link Family Worker, North Essex

Essex County Council
£36124.0000 - £51834.0000 per annum
Social Worker - Link Family Worker, North EssexPermanent, Full Time£36,124 to £51,834 per annumLocation
Recuriter: Essex County Council

Health and Social Care Trainer - North Essex

Essex County Council
£38466.0000 - £45254.0000 per annum
Health and Social Care Trainer - North EssexPermanent, Part Time£29,468 to £34,668 per annum (full time equivalent) Location
Recuriter: Essex County Council

Housing Service Officer

Kirklees Metropolitan Council
£26,403 - £28,142
Our employees are at the very heart of the services we provide to the community Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council
Linkedin Banner