William Eichler 03 December 2019

Party commitments on council funding ‘starkly’ different, think tank says

The money allocated to local government in the Conservative manifesto would not be enough to meet rising costs and demands over the next parliament, think tank says.

The Institute for Fiscal Studies have analysed what the manifestos of the main political parties – Conservatives, Labour, and Liberal Democrats – mean for local authority funding.

They concluded that Tory funding commitments would not cover the increasing costs and demands expected at the local level, even if council tax were increased by 4% a year.

A study of English local government funding from the IFS last month found that budgeted revenues to cover day-to-day spending in 2019–20 will be approximately 18% lower in real-terms than in 2009–10. This equates to cuts of 24% per resident once population growth is taken into consideration.

The study also found that these cuts have varied ‘significantly’ across the country.

Councils’ spending on local services has fallen around 31% in the most deprived areas, according to the IFS, compared to 16% in the least deprived areas.

Labour has allocated ‘more than enough’ money to meet rising costs and demands, according to the IFS’ associate director and author of the analysis, David Phillips, allowing increases in service provision and quality.

However, Labour’s funding commitments would not restore local government funding to 2010 levels.

The Liberal Democrats have allocated enough money to meet rising costs and demands if council tax is increased by 2% a year. This would, however, require some of the funding earmarked for bus services, youth services or homelessness to be used to meet these pressures.

‘Taken together, the differences between what the parties propose for local government funding are stark. This reflects manifestos that more generally set out vastly different futures for the country,’ concluded Mr Phillips.

‘But all three main parties have unfunded commitments on adult social care spending – suggesting this will be an important and potentially problematic issue whoever forms the next Government.’

SIGN UP
For your free daily news bulletin
Highways jobs

Social Work Consultant

Durham County Council
Grade 13 - £47,181 - £51,356
Do you believe every child deserves to grow up surrounded by love, family, and a sense of belonging? Are you ready to be part of a leadership team th Durham
Recuriter: Durham County Council

Team Manager

Durham County Council
Grade 14 - £50,269 - £54,495
Do you believe every child deserves to grow up surrounded by love, family, and a sense of belonging? Are you ready to lead a team that makes this vis Durham
Recuriter: Durham County Council

Social Worker Fostering

Durham County Council
Grade 9 - £35,412 - £39,152 (pre-progression) / Grade 11 - £40,777 - £45,091 (post-progression)
Do you believe every child deserves to grow up surrounded by love, family, and a sense of belonging?   We’re on an exciting journey to expand our Conn Seaham
Recuriter: Durham County Council

Operational Support Assistants

Durham County Council
Grade 4 £25,583 - £26,824
We are recruiting two Operational Support Assistants to join our team at Hackworth Road Depot, Peterlee.    WHAT IS INVOLVED?   We are recruiting two Peterlee
Recuriter: Durham County Council

Senior System Development and Implementation Officer

Durham County Council
Grade 10 £38,220 to £41,771 per annum
We are looking for an experienced senior officer who has the ability to solve and explain computer related issues.  This post is temporary for 24 mont Spennymoor
Recuriter: Durham County Council
Linkedin Banner