The local government sector in England has united to put out a call to the chancellor to ‘address the significant financial challenges faced by councils’.
This morning’s statement from the Local Government Association, County Councils Network, District Councils Network, London Councils, Special Interest Group of Municipal Authorities and Unitary Councils Network warned: ‘For many of our members, they are now approaching or already at the point where their financial sustainability is at risk.’
Ahead of today’s Autumn Statement, key asks of the chancellor Jeremy Hunt included ‘a long-term plan for greater funding certainty’ with multi-year settlements, following five single-year announcements in a row.
They have also made a plea for existing funding to be devolved to give more local discretion on spending.
The statement says this would ‘throw a lifeline to the vital local services that people depend upon every day’.
They have reiterated the £4bn funding gap faced by councils in England over the next two years and 27% real terms cut in core spending power since 2010/11.
The statement urges Mr Hunt to ‘ensure all councils have sufficient resources to set balanced budgets next year without having to make drastic cuts to local services’, while stressing council tax increases and using reserves ‘are not the long-term solution’.
This article was originally published by The MJ (£).
