Martin Ford 05 June 2018

Three-quarters of councils facing financial crisis next year warn leaders

Three-quarters of senior officers expect austerity to claim more victims in the coming year, while a third are pessimistic about balancing savings with protecting frontline services in years to come.

PwC’s annual survey, The Local State We’re In, surveyed 81 local authority chief executives, finance directors and elected council leaders and 2,001 members of the public. It found a surge in respondents expecting a council to fall into financial crisis this year, at 74% compared to 54% in 2017.

While 72% of council respondents remained confident of delivering savings next year, 33% expressed fears that they cannot deliver savings and maintain service delivery over the coming three years, rising to 81% over the next five years.

Jonathan House, PwC’s local government leader, said: ‘There’s some realism from a number of council leaders that the scale of the demand challenge is still rising, while resources are strained.

‘The onus is on them to grow their local area and work even more closely with other public sector partners and service providers.’

He added: ‘While local councils have done well against an ongoing course of challenges, the cliff edge for some is getting ever closer.’

The survey also revealed high hopes for digital technology, with nine in 10 respondents expecting it will enable them to engage communities in new ways, while 80% expect digital to improve service delivery.

However, almost two-thirds (62%) of the public polled had not interacted with their council digitally in the past month and 20% are not aware of any council services being available digitally, showing little change from last year.

Confidence in devolution appears to have slumped, with just 13% of those polled believing their council will have more powers and responsibilities by 2022, compared with one in three in 2015.

Almost three-quarters (74%) put it down to the mayoral model, with 73% attribute it to local political relationships.

Visit The MJ (£) to read PWC's piece on how technology can help secure the future for local authorities.

SIGN UP
For your free daily news bulletin
Highways jobs

Team Co-ordinator

Local Government & Social Care Ombudsman
£30,253 - £36,117 per annum
For over 50 years we have been the voice of the public Hybrid working – allocated to offices in Coventry or York
Recuriter: Local Government & Social Care Ombudsman

Children and Young People with Disabilities Support Worker

Essex County Council
£26284.00 - £33256.00 per annum + + 26 Days Leave & Local Gov Pension
Children and Young People with Disabilities Support WorkerPermanent, Full Time£26.284 to £33,256 per annumLocation
Recuriter: Essex County Council

Information Governance Assistant - 18 month FTC

Essex County Council
£25959.00 - £28621.00 per annum + + 26 Days Leave & Local Gov Pension
Information Governance AssistantFixed Term, Full Time£25,959 to £28,621 per annumLocation
Recuriter: Essex County Council

Housing Officer- Income Recovery - WMF2881e

Westmorland and Furness Council
£36,363- £37,280
Following an exciting restructure of our Housing Team, we are delighted to offer several new opportunities Barrow in Furness, Cumbria
Recuriter: Westmorland and Furness Council

Community Learning and Skills Tutor - ESOL WMF2887e

Westmorland and Furness Council
£36,363 - £37,280 (pro rata)
This is an exciting role which will involve delivering both accredited and non-accredited ESOL courses at various levels. Carlisle, Cumbria
Recuriter: Westmorland and Furness Council
Linkedin Banner