Ellie Ames 11 October 2023

London councils face £400m shortfall

London councils face £400m shortfall  image
Image: EtiAmmos / Shutterstock.com.

The capital’s boroughs face a £400m funding gap this year, set to rise to £500m in 2024-25, new analysis from London Councils reveals.

Boroughs will have to grapple with a projected £2bn shortfall over the next four years, the cross-party group has said.

It said social care pressures and the capital’s homelessness crisis are driving financial shortfalls.

With an estimated 170,000 homeless Londoners, boroughs expect to overspend by £90m on temporary accommodation this year.

Acting chair of London Councils, Claire Holland, said: ‘Borough finances are on a knife edge – with grim implications for the future of local services in the capital.’

The organisation said boroughs’ resources are almost a fifth (18%) lower than in 2010, despite there now being almost 800,000 more people living in the capital.

London Councils has called on the Government to increase overall funding to councils by at least 9% and uplift the Local Housing Allowance and Homelessness Prevention Grant in the Autumn Statement.

If this article was of interest, then check out our features, 'Preventing future Section 114 notices', 'How to fix local government finance', and 'Budgetary Breaking Point: Learning from Birmingham’s mistakes'.

SIGN UP
For your free daily news bulletin
Highways jobs

Highly Specialist Clinical Psychologist

Oxfordshire County Council
£62215 - £72293
How about joining The Clinical Team at Oxfordshire County Council in our new Community Family Clinic initiative? Oxford
Recuriter: Oxfordshire County Council

Traffic Management Officer - WMF2114e

Westmorland and Furness Council
£37,035 - £37,938
Are you an experienced and motivated professional looking to take the next step in your traffic management career? Cumbria / Various
Recuriter: Westmorland and Furness Council

Peripatetic Support Assistant

Wakefield Council
£16,415.00 - £16,675.23 Grade 4, 24.5 hours, Permanent
Are you caring, compassionate, and friendly? Wakefield, West Yorkshire
Recuriter: Wakefield Council

Peripatetic Support Assistant

Wakefield Council
£14,070.00 - £14,293.05 Grade 4, 21 hours, Permanent
Are you caring, compassionate, and friendly? Wakefield, West Yorkshire
Recuriter: Wakefield Council

Recruitment Support Officer

Durham County Council
£25,584 to £27,711 p.a. (Grade 5) pay award pending
We are looking for a Recruitment Support Officer to join our team on a temporary basis until 31 March 2026. In this role, you will provide a comprehe Spennymoor
Recuriter: Durham County Council
Linkedin Banner