William Eichler 11 February 2019

Spending Review ‘make or break’ for cash-strapped councils

Local government leaders have warned the Chancellor that the upcoming Spending Review will ‘make or break’ over-stretched council services.

New research from the Institute for Fiscal Studies has revealed that Philip Hammond will need to find an extra £5bn by 2023-24 to spare further cuts to public services.

Drawing on the Treasury’s provisional plans in the Autumn 2018 budget, the think tank estimated that departments, excluding health, defence and aid, face more cuts under the Government’s spending plans.

This will be on top of the £40bn they have endured since 2010.

The scale of the cuts to come would be much smaller than those already implemented, with cuts for unprotected departments averaging 0.4% per year going forwards compared to 3% a year over the period since 2010.

Ben Zaranko, a research economist at the IFS, said the think tank’s findings ‘suggest yet more years of austerity for many public services – albeit at a much slower pace than the last nine years.’

In response to the IFS report, Cllr Richard Watts, chair of the Local Government Association’s Resources Board, said that local government in England faces an overall funding gap of £8bn by 2025.

‘The Spending Review will therefore be make or break for vital local services and securing the financial sustainability of councils must be the top priority,’ he warned.

‘If the Government fails to adequately fund local government in the Spending Review then there is a real risk to the future financial viability of some services and councils,’ Cllr Watts continued.

‘Councils were at the front of the queue when austerity started so local services should be at the front of the queue if it is coming to an end.

‘Fully funding councils is the only way to ensure they can continue to provide all of the valued local services which make such a positive difference to people’s lives.

‘It will also save money for the taxpayer and others part of the public sector, such as the NHS.’

Image: Sovastock / Shutterstock.com.

SIGN UP
For your free daily news bulletin
Highways jobs

Educational Psychologist - Main Grade

Essex County Council
£43483.0000 - £63394.0000 per annum
Educational Psychologist - Main GradePermanent, Full Time and Part TimeSoulbury Psychologists Scale A from 3 to 8 plus SPA opportunityLocation
Recuriter: Essex County Council

Youth Justice Practitioner

Essex County Council
£38487.0000 - £51834.0000 per annum
Youth Justice PractitionerPermanent, Full Time£38,487 to £51,834 Per Annum Location
Recuriter: Essex County Council

Library and Resident Supervisor

The Royal Borough of Windsor & Maidenhead
£30,193 - £34,104 per annum (27,540.84 - £31,108.30 pro rata per annum)
You will help ensure our libraries provide a consistently high-quality, safe and welcoming service. Windsor, Multiple
Recuriter: The Royal Borough of Windsor & Maidenhead

Public Health Lead - Gambling Harms

The Royal Borough of Windsor & Maidenhead
£55,296 - £60,286 per annum (£33,177 - £36,171 per annum pro rata based on 22.2 hours per week)
The role presents an opportunity to gain experience working across two local authority areas and lead an emerging area of population health work. Windsor, Multiple
Recuriter: The Royal Borough of Windsor & Maidenhead

Family Support Parenting Practitioner

Gloucestershire County Council
£34,237 - £37,563 per annum
Join our dedicated team in Children's Services and make a real difference in the lives of children and families across Gloucestershire. Gloucestershire
Recuriter: Gloucestershire County Council
Linkedin Banner