William Eichler 17 September 2020

Leeds City Council faces over £100m funding gap

Leeds City Council faces over £100m funding gap image

Leeds City Council has appealed to the Government for more financial support as it projects a funding gap next year of over £100m.

The council is currently projecting, after the application of Government support, an estimated funding gap of £52.5m in this financial year.

For the financial year ahead (2021/22) the council is also facing a funding gap of £118.8m. It estimates that £66.1m is due to the ongoing impact of Covid-19.

A report by the Institute for Fiscal Studies (IFS) has stated that, for 2020/21 alone and without considering losses due to uncollected local taxation, there is for councils still a gap of £2bn that needs to be met.

In terms of the total unfunded in year impact of Covid-19 upon local authorities, the IFS warns this £2bn figure could potentially rise up to £3.5bn in 2020/21.

‘The impact of coronavirus has had an enormous impact on our financial position. Not only in terms of the costs to tackle Covid-19, but on many of our revenue streams that help provide the funding we need to fund vital front-line services,’ said the leader of Leeds City Council Cllr Judith Blake.

‘Whilst welcoming the assistance offered so far by Government to meet the costs of coronavirus, it simply does not go far enough when you also consider the significant cuts made to our central grant funding since 2010.

‘We are therefore in talks with the Government to discuss what else they can do to help because without additional assistance, there is a threat of big cuts to services.

‘These financial reports to executive board set out the stark financial position we face, and a number of steps we intend to move forward with to mitigate the impact of the budget gap in the next financial year.

‘We will do everything in our power to ensure that our front-line services supporting the elderly, vulnerable and all those in need continue to be protected.’

SIGN UP
For your free daily news bulletin
Highways jobs

Senior Strategy Adviser

Essex County Council
£39168.0 - £45664 per annum
This is a fixed term / secondment opportunity on an initial 6-month contract basis One of the largest and most dynamic local authorities in the UK, England, Essex, Chelmsford
Recuriter: Essex County Council

Social Workers x2 - Family Support & Protection - Basildon

Essex County Council
£30906.0 - £42254.0 per annum + + Free Parking & Great Benefits
These positions are open to Newly Qualified Social Workers (NQSWs) and Experienced Social Workers. The starting salary for a NQSW is £28,330.50 per England, Essex, Basildon
Recuriter: Essex County Council

Social Workers x2 - DBIT - Essex County Council - Basildon

Essex County Council
£30906.0 - £42254.0 per annum + + Free Parking & Great Benefits
D-BIT The Divisional Based Intervention Teams (D-BIT) have been operational in Children's Social Care (CSC) since early 2012. The service has a prov England, Essex, Basildon
Recuriter: Essex County Council

Strategic Transport Team Leader

Telford & Wrekin Council
£39,880 - £42,821 per annum
Do you want to be leading the strategic development of Telford’s transport network? Telford, Shropshire
Recuriter: Telford & Wrekin Council

Strategic Resourcing Adviser

The Royal Borough of Kensington & Chelsea Council
£31,800 - £43,000 per annum
You will be joining us at a time of change to deliver our new resourcing strategy which aims to... Kensington and Chelsea, London (Greater)
Recuriter: The Royal Borough of Kensington & Chelsea Council

Public Property

Latest issue - Public Property News

This issue of Public Property examines how how flexible workspaces can lead the way in regeneration for local authorities, Why local authority intervention is key to successful urban regeneration schemes and if the Government’s challenge of embracing beauty is an opportunity for communities.

The March issue also takes a closer look at Blackburn with Darwen Council's first digital health hub to help people gain control over health and care services.

Register for your free digital issue