Council finances are under strain from rising costs and demand for services
Events over the summer have conspired to put local government finances back in the spotlight.
Amid warnings that other councils may follow Birmingham City Council in issuing a Section 114 notice – indicating that they cannot balance their budgets – the LGA has pointed to the increased demand for, and rising costs of, services such as children’s and adult social care.
We know that councils in England face a funding gap of almost £3 billion over the next two years just to keep services standing still.
Councils’ ability to mitigate these stark pressures is being continuously hampered by one-year funding settlements, one-off funding pots and uncertainty because of repeated delays to funding reforms.
The Government needs to come up with a long-term plan to sufficiently fund local services – and its Autumn Statement, on 22 November, provides an opportunity to do this.
At a time when both a Conservative administration and Labour opposition want us to do more, there must be a full and frank discussion with government, and those who wish to form the next government, about council funding.
We also need recognition that the system is broken. The amount of money that has been removed over the past decade or more is now resulting in well-led and well-managed councils facing the prospect of s114 notices.
If we want the country to have economic growth, that comes from local economic growth. If we want to have an answer for the national housing crisis, that starts with houses being built at a local level.
Local government can deliver public services faster, better and more efficiently – we just need to be empowered to do so with a new approach to funding and resources.
Meanwhile, I wanted to thank you and your teams for all the work you are doing to ensure the safety of your local schools and wider communities since the Department for Education changed its risk assessment for reinforced autoclaved aerated concrete (RAAC) in August.
Thousands of pupils in England and Wales had a disrupted start to the new term this month after RAAC – which can fail without warning – was identified at more than 100 schools. It has also been found in courts, hospitals and theatres.
The LGA has been highlighting the consequences for councils and their school estate with government, and working with officials on a cross-department basis.
Our Senior Vice-Chairman, Cllr Kevin Bentley, has written to Gillian Keegan, Secretary of State for Education, and we continue to call for the implications for councils to be a central focus as next steps are agreed on this worrying issue.
Help with RAAC
Reinforced autoclaved aerated concrete (RAAC) is a lightweight form of concrete that was used in roof, floor, cladding and wall construction in the UK from the mid-1950s to the mid-1980s.
It was used by some municipal architects primarily in offices and schools, but RAAC has been found in a wide range of buildings, not all of which are still in the public sector.
The limited durability of RAAC roofs and other RAAC structures has long been recognised. However, recent experience – which includes two roof failures with little or no warning – suggests the problem may be more serious than previously appreciated, and that many building owners are not aware that it is present in their property.
- Further information about RAAC – including government guidance for responsible bodies, safety briefing notices and technical reports, and guidance on identification and remediation – is available on the LGA’s website.
