News

Councils in England are facing a £7 billion funding black hole within three years opening up a gap so large it is more than the current council spend on roads, transport, homelessness and housing services combined. 

Cllr Louise Gittins, Chair of the Local Government Association, said:  "The UK is one of the most fiscally centralised countries in the developed world so plans towards greater fiscal devolution are encouraging.

"Greater financial certainty and a simpler funding system are important, but council finances remain under severe pressure."

“We are pleased that the Government has responded positively to our concerns on councils’ audit costs. The new funding will help meet the expected cost of extra fees charged for rebuilding assurance following the audit backstops. However, it is crucial that the amount of funding being made available is kept under review against actual costs once they are known to ensure it meets the long-term needs of making the audit system sustainable."