On the day briefing
The LGA has predicted that councils will already have to find £2.5 billion in savings this year and we support the Chancellor's decision not to re-open the local government finance settlement for 2015/2016 in his Budget.
The 2015 Spending Review must reform local government funding in order to ease pressures on vital services over the coming years and to prevent councils facing a predicted funding gap of £9.5 billion by 2020. Ahead of the forthcoming Spending Review the LGA has put forward proposals to the Government on ways of working together to achieve our shared agenda.
We welcome the proposal for a National Living Wage. However it will have a potential upward pressure on council budgets and contract costs and we expect any arising new burdens to be fully funded. We will conduct detailed analysis and evaluation on what this is likely to mean and provide updates.