Local Government Finance Settlement leaves £3 Billion funding gap

Last week the Government published its annual ‘Local Government Spending Allocations.

Councillor Tim Pickstone, Liberal Democrat Group leader on Bury Council said:
“Councils still face a funding gap of more than £3 billion this year. The money councils have to provide local services is running out fast and there is huge uncertainty about how they will pay for them into the next decade and beyond.

“If we truly value our local services then we have to be prepared to pay for them. Fully funding councils rather than smaller “one off” bits of extra funding is the only way they will be able to keep providing the services which make a difference to people’s lives, such as caring for older and disabled people, protecting children, building homes, maintaining our parks, fixing roads and collecting bins.

“Investing in local government services will also help reduce pressure on other parts of the public sector, such as the NHS, and save money for the public purse.”

Liberal Democrat Local Government Spokesperson Wera Hobhouse MP added:
“This settlement does nothing to address the growing inequalities across our country. The highly regressive council tax system means that, as the Conservative Government continue to underfund local government, subsequent council tax rises hit poorer communities the hardest.

“There must be a reform of council tax to prevent the places with the highest demand for services for vulnerable people, struggling the most to fund it.

“Liberal Democrats demand better than the sticking plaster that has been presented. The Government are once again kicking the can down the road, instead of setting out a long-term financial package that provides security for our local services.”

One thought on “Local Government Finance Settlement leaves £3 Billion funding gap

  1. ROBERT ATKINS says:

    Whilst the cause of riots two decades ago the ‘Poll’ Tax had the right intentions. A house with eight adult occupants pays the same in rates as a house with two adult occupants (assuming the houses are in the same rating band) yet all enjoy the same local amenities – this is clearly unfair. A per ‘Head’ tax should be levied.

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