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LGA responds to Local Government Finance Settlement


Responding to the Local Government Finance Settlement, Cllr Louise Gittins, Chair of the Local Government Association, said:

“Extra money for councils next year, including compensation for employer national insurance contributions increases, will help meet some of the cost and demand pressures they face but still falls short of what is desperately needed to cover them all. 

“This financial year therefore remains extremely challenging for councils of all types who now face having to increase council tax bills to bring in desperately needed funding next year yet could still be forced to make further cuts to services. Wherever possible they will be working alongside their local partners to innovate and try and protect the services that people rely upon as much as they can. 

“Councils also recognise that having to increase council tax places yet more financial burden on households. We remain clear to Government that it is not the answer to meeting the long-term pressures facing high demand national services.

“The forthcoming Spending Review will be critical to the future of our local services and must include significant and sustained increases in overall funding for councils. 

“However, this alone will not address the multiple issues with the way local services are funded. Councils stand ready to work with the Government on creating an improved and a more sustainable future funding system that works for the whole of local government.”