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

Social Worker - Adult Social Care (CLDT)

Bolton Council
£31,895
This is a permanent Social Work role in Adult Social Care. Bolton, Greater Manchester
Recuriter: Bolton Council

Principal Programme Officer

Bolton Council
£35,336
Do you enjoy variety and change? Can you keep your eye on the detail whilst also thinking strategically? Bolton, Greater Manchester
Recuriter: Bolton Council

IDT Junior Developer

Telford & Wrekin Council
£28,226 - £30,095
Telford & Wrekin Council are seeking an enthusiastic and highly motivated Junior Developer. Telford, Shropshire
Recuriter: Telford & Wrekin Council

Activities Leader (Outdoor Adventurous Activities)

Leicestershire County Council
£20,856
Lead activities and ensure that delivery of programmes are of a high standard. Leicester, Leicestershire
Recuriter: Leicestershire County Council

Transition Support Worker (Complex Needs)

Leicestershire County Council
£19,701
This is an exciting opportunity for to work with an experienced team delivering high quality learning opportunities and care. Leicester, Leicestershire
Recuriter: Leicestershire County Council

Partner Content

Circular highways is a necessity not an aspiration – and it’s within our grasp

Shell is helping power the journey towards a circular paving industry with Shell Bitumen LT R, a new product for roads that uses plastics destined for landfill as part of the additives to make the bitumen.

Support from Effective Energy Group for Local Authorities to Deliver £430m Sustainable Warmth Funded Energy Efficiency Projects

Effective Energy Group is now offering its support to the 40 Local Authorities who have received a share of the £430m to deliver their projects on the ground by surveying properties and installing measures.

Pay.UK – the next step in Bacs’ evolution

Dougie Belmore explains how one of the main interfaces between you and Bacs is about to change.