Briefings and responses

Between 2010 and 2020, councils will have lost almost 60p in every £1 of central government funding. This has created an unsustainable gap in council funding that is having a significant impact on the services which local authorities deliver in their communities.

Councils are uniquely placed to build communities that are inclusive, cohesive and promote people’s life chances. They do this by tailoring more than 800 local services to the needs of their residents, to meet local and national challenges.

Councils are central to building communities that are inclusive, cohesive and promote people’s life chances.

Local authorities will face an overall funding gap of £3.1 billion in 2019/20, which we estimate will rise to £8 billion by 2024/25. The pressures are particularly acute in adult social care, children’s services and homelessness support.

Investing in councils will have a positive effect on wider economic growth and the public finances. Research suggests that putting money into infrastructure and services such as social housing, local roads, and green spaces is good for the overall economy.

The information below outlines the scale of the financial challenge facing all councils, including district councils, and the measures which must be taken to ensure local government is funded sustainably. It also sets out the pressures facing some of district councils’ most in-demand services.

Sound financial management is crucial to the financial resilience of councils and Cipfa’s proposed new code is a welcome addition to the tools and guidance that councils can use to achieve that.

Effective procurement has never been more important for local government.

We welcome the proposal for businesses to provide more regular information to the Valuation Office Agency, as part of a move to more frequent valuations. This must be accompanied by measures to significantly reduce the backlog of appeals.

Councils will face an overall funding gap of £3.1 billion in 2019/20, which we estimate will rise to £8 billion by 2024/25. The pressures are particularly acute in adult social care, children’s services, public health and homelessness support. Overspends in these services have forced councils to make in-year budget cuts to balance their books.