Failing to ensure councils are properly funded is ‘the ultimate false economy’ because it forces them to make ‘repugnant’ service cuts which lead to greater problems in the future, local government professionals warn.
In their Spending Review submission, Solace called on the Government to secure a multi-year funding settlement, stabilise social care budgets, fix the workforce crisis, invest in social infrastructure, and empower local leaders to drive economic growth.
Solace President Matt Prosser said that the current fiscal outlook meant councils are forced to make ‘increasingly repugnant’ service cuts in the knowledge that this will only lead to problems further down the line.
‘Inadequate funding for local government is the ultimate false economy – we are already seeing the negative consequences of such an approach – so we should be investing in the sector instead of trying to continue cutting our way out of a fiscal hole.’
Patrick Melia, Solace spokesperson for local government finance, commented that without ‘robust and resilient councils’ the Government’s missions would be ‘undeliverable.’
He also added that the time had come to consider ‘much more fundamental reform of the local government finance system’.
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