Local government ‘still faces precarious future’

Chancellor Rachel Reeves also allocated an additional £1 billion for supporting children with special educational needs and disabilities (SEND) in her first Budget, published last month. 

LGA Chair Cllr Louise Gittins said the Budget was a “step in the right direction”, with some positive announcements, but that councils and the services they provide to their residents “still face a precarious short and long-term future”.

“Ahead of the Budget, the LGA made the case for government to address the cost and demand pressures that have pushed many councils towards the financial edge,” she said. 

“It is encouraging that the Chancellor has responded by providing £1.3 billion extra funding for the next financial year, which will help meet some – but not all – of the significant pressures in adult and children’s social care, and homelessness support.

“Only with greater funding certainty through multi-year settlements and more clarity on financial reform, can councils protect services, meet the needs of residents and work in partnership on the Government’s priorities, from social care to housing, inclusive economic growth and tackling climate change. 

“The Government also needs to give explicit clarity on whether councils will be protected from extra cost pressures from the increases to employer National Insurance contributions.

“We look forward to continuing to work in partnership with the Government to address these issues for councils and communities.”

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