Laura Sharman 26 November 2020

Spending Review: 'Risk all sits on local government'

The Spending Review failed to tackle key issues such as reforms to local government funding, sector experts have warned.

The Local Government Information Unit (LGiU) said the 4.5% increase in spending power for local government would come predominantly from council tax increases and the social care precept.

‘The political and economic risk all sits on local government,’ said Jonathan Carr-West, chief executive of LGIU. ‘There is no gift from the centre.’

The Local Government Association (LGA) also warned that any increase in council tax would place a ‘significant’ burden on households.

Cllr James Jamieson, chairman of the LGA, said: ‘Council tax rises – particularly the adult social care precept – have never been the answer to the long-term pressures faced by councils, particularly in social care, raising different amounts of money in different areas, unrelated to need. It is not the long-term solution which is desperately needed.

’We have warned about record numbers already claiming a discount on their council tax due to the pandemic and are pleased the Government will provide funding to help councils provide vital support for those on low incomes who may struggle to pay.’

Karen Sanderson, director of public financial management at CIPFA, said: ‘While the statement was flush with cash in some areas, others were considerably lacking. A 4.5% increase in spending power for local authorities will be absorbed by increased social care costs off the back of the pandemic, and higher costs from the rise to the national minimum wage.

’This announcement also did nothing to address key structural issues, including reform to local government funding and social care.’

SIGN UP
For your free daily news bulletin
Highways jobs

Educational Psychologist

North Yorkshire Council
£49,215 - £65,423
This is an exciting time within North Yorkshire Council’s Educational Psychology service. Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

Educational Psychologist

North Yorkshire Council
£49,215 - £65,423
This is an exciting time within North Yorkshire Council’s Educational Psychology service. Selby, North Yorkshire
Recuriter: North Yorkshire Council

Dredger Chief Mate

North Yorkshire Council
£29,064 – £31,537 per annum
The vessel operates in the ports of Whitby and Scarborough and occasionally operates on contract to dredge other ports around the UK coast. Whitby, North Yorkshire
Recuriter: North Yorkshire Council

Social Worker Disabled Children's Team

North Yorkshire Council
£38,220 - £42,839 per annum
Do you want to be part of a service that is passionate about improving the lives of disabled children and their families? Northallerton, North Yorkshire
Recuriter: North Yorkshire Council

Democratic Services and Civic Officer

Ribble Valley Borough Council
£33,143 to £35,412 per annum
We are excited to advertise the position of Democratic Services and Civic Officer in our Chief Executive’s Department. Clitheroe, Lancashire
Recuriter: Ribble Valley Borough Council
Linkedin Banner