William Eichler 17 September 2020

Leeds City Council faces over £100m funding gap

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

Lawyer - Contracts and Commercial - WMF2716e

Westmorland and Furness Council
£45,091 - £46,142
We are looking for a proactive and skilled Lawyer (Contracts & Commercial) to join our Legal & Democratic Services team. Cumbria / Various
Recuriter: Westmorland and Furness Council

Customer Service Assistant

Essex County Council
Up to £25081.00 per annum + pension
Customer Service AssistantPermanent, Part Time£25,081 per annum Location
Recuriter: Essex County Council

Registered Manager - Children's Home - WMF2725e

Westmorland and Furness Council
£51,356 - £52,413
This post is a crucial leadership role within the exciting new Westmorland and Furness children’s home service area. Dalton-In-Furness, Cumbria
Recuriter: Westmorland and Furness Council

Project Lead - Capital Programmes - WMF2722e

Westmorland and Furness Council
£47,181 - £48,226
We are looking for a Project Manager who is self-reliant and driven individual Kendal, Cumbria
Recuriter: Westmorland and Furness Council

Waste Service Team Leader/Driver Cat C

Hyndburn Borough Council
£31,537 – £33,699 per annum
Applicants for the post must have a valid category C driving licence and a minimum of 2 years’ experience Accrington, Lancashire
Recuriter: Hyndburn Borough Council
Linkedin Banner