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

Systems and Control Officer

North East Lincolnshire Council
Grade 7 £28,192 to £32,242 per year
Are you a tech-savvy problem solver with a passion for public service and financial accuracy? North East Lincolnshire
Recuriter: North East Lincolnshire Council

Clinical Assurance and Quality Officer

North East Lincolnshire Council
NJC11 £28,142.00 FTE
Could you be the person who acts as a vital link between the Clinical Assurance and Quality Team and other services North East Lincolnshire
Recuriter: North East Lincolnshire Council

Duty Manager

Mansfield District Council
£13,201 - £14,071 per annum
Mansfield Palace Theatre is looking for two enthusiastic and dedicated Duty Managers Mansfield, Nottinghamshire
Recuriter: Mansfield District Council

Selective Licensing Officer

Ashfield District Council
£19,236 - £20,660 per annum
We have an exciting opportunity for an enthusiastic, committed and self-motivated individual to join our Environmental Health (Residential) Team Sutton-In-Ashfield, Nottinghamshire
Recuriter: Ashfield District Council

Senior Housing Assistant

Ashfield District Council
£32,061 - £34,434 Per annum
We are looking for an energetic and driven individual to join our Lettings Team as Senior Housing Assistant. Sutton-In-Ashfield, Nottinghamshire
Recuriter: Ashfield District Council
Linkedin Banner