Ellie Ames 09 December 2024

Lack of clarity on reform ‘risks misleading councils’

Lack of clarity on reform ‘risks misleading councils’ image
Image: Brian A Jackson / Shutterstock.com

A leading financial think-tank has warned that the Government risks ‘misleading’ local authorities if it does not provide more clarity on its plans to reform funding.

A new report by the Institute for Fiscal Studies (IFS) concludes the Government must be much clearer on both its expectations of local public services and its objectives for reform – or risk undermining its efforts.

The think-tank said assessments of councils’ spending needs and their ability to raise revenue must be updated to inform a new system for allocating central government funding.

The IFS said current allocations were too often ‘essentially arbitrary’, being no longer reflective of areas’ populations or other socio-economic characteristics.

Its new report proposes that an independent body advises on local government funding and its distribution, and floats the idea of legislation that requires the Government to provide sufficient funding for statutory services.

The think-tank also found that ‘the evidence that devolution boosts economic performance is less strong than sometimes claimed’.

IFS associate director David Phillips said: ‘The technical details of the reforms will matter.

‘But what matters most is a clear articulation of what services the UK government expects local government in England to be able to provide, and its objectives for a reformed system – including the extent to which it prioritises redistribution to poorer areas, versus financial incentives for growth.’

SIGN UP
For your free daily news bulletin
Highways jobs

Head of Democratic Services, Elections & Monitoring Officer

Harborough District Council
Grade 12 £67,236 – £71,223 plus £3000pa Statutory Officer Allowance
We are looking for an accomplished and proactive leader for our vacant post of Head of Democratic Services & Elections Market Harborough, Leicestershire
Recuriter: Harborough District Council

Social Worker

Durham County Council
£35,412 - £39,152 (pre-progression) / £40,777 - £45,091 (post-progression)
We are looking for social workers who have completed the assessed and supported year in employment to join our Families First teams, working with our Durham
Recuriter: Durham County Council

Social Worker

Durham County Council
Grade 9 £35,412 - £39,152 (Pre-Progression) / Grade 11 £40,777 - £45,091 (Post-Progression)
Are you a nurturing social worker passionate about supporting parents so that children can remain with their birth family?     This could be the right Durham
Recuriter: Durham County Council

Administrative Officer

Durham County Council
Grade 4 £25,583 - £26,824
An exciting opportunity has arisen for a Administrative Officer to join our busy, friendly team, supporting Children and Young People’s Services. 1 x Spennymoor
Recuriter: Durham County Council

Lunchtime Play Worker

Durham County Council
£24,796 pro rata
Lunchtime Play Worker Grade 1 £24,796 pro rata Part Time - 6.25 hour per week, Monday – Friday
Recuriter: Durham County Council
Linkedin Banner