Mark Whitehead 26 April 2023

Poorest councils suffer cuts three times higher than richest

Poorest councils suffer cuts three times higher than richest image
Image: Becky Stares / Shutterstock.com.

The poorest councils have suffered cuts in Government funding nearly three times higher than the richest, according to a research group.

The Special Interest Group of Municipal Authorities (SIGOMA) says that on average the most deprived councils in England have received a 28.3% cut in the last 13 years while the richest 10 have received only 10.1% reduction.

It is calling for fundamental reform of Government funding to create a fairer system and fulfil the ‘levelling up’ agenda.

It says structures that support the fair distribution of funds raised through taxation have been replaced by ones that tend to reward high-value housing stock and a large and thriving business rate base.

Failure to reset business rates growth has unfairly disadvantaged the poorest councils over the last three years.

The group’s chair Sir Stephen Houghton, leader of Barnsley Council, said: ‘The system needs serious reform.

‘Reversing the trends will not happen overnight and we need to introduce a new model that reforms local Government finance to create a fairer funding system.’

‘The poorest areas have seen the biggest cuts and for “levelling up” to mean anything the Government should be looking to reverse these cuts and create a funding formula that funding according to council needs.’

SIGN UP
For your free daily news bulletin
Highways jobs

Head of Integrated Enforcement

London Borough of Richmond upon Thames and London Borough of Wandsworth
£72,468 - £88,374
Head of Integrated Enforcement... Wandsworth, London
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Registration Service Officer (Frontline)

Essex County Council
£25959.0000 - £28621.0000 per annum
Registration Service Officer (Frontline)Fixed Term, Full Time£25,959 up to £28,621 per annum Location
Recuriter: Essex County Council

ECC Intern

Essex County Council
Up to £0.0000 per annum
ECC InternFixed Term, Full Time£25,959 per annum Location
Recuriter: Essex County Council

Advanced Skills Worker

Essex County Council
£34353.0000 - £38035.0000 per annum
Advanced Skills WorkerPermanent, Full Time£34,353 up to £38,035 per annum Location
Recuriter: Essex County Council

Head of Property, Assets & Major Projects

Fenland District Council
Renumeration package £74 – 78k
This is a rare opportunity to combine strategic leadership, commercial asset management March, Cambridgeshire
Recuriter: Fenland District Council
Linkedin Banner