THE leader of Cheshire West and Chester Council has joined cash-strapped heads of many other local authorities in pleading to the Government for more money.
Labour’s Louise Gittins has written to Chancellor of the Exchequer Jeremy Hunt demanding a fairer deal for the borough.
Her letter comes ahead of the Chancellor’s Autumn Statement next Wednesday – November 22 – when he will set out the Government’s spending priorities for the next financial year and beyond.
Cllr Gittins says Mr Hunt will have a chance to reverse damaging cuts that have left many public services struggling to survive.
Since 2010, the Government has repeatedly slashed funding to local authorities, leaving an increasing number of councils of varying political persuasions warning that they could effectively go bankrupt in the years ahead. Some have already done so.
The cross-party Local Government Association has warned that a combination of rampant inflation, rising homelessness and the increased cost of delivering services such as children’s social care mean councils are facing a £4 billion funding gap by March 2025.
Cllr Gittins said: “Government cuts have been unfairly targeted at boroughs like Cheshire West and Chester where the cumulative total of reductions in Government funding is calculated as high as £572.462 million.
“Unfunded pressures are pushing council finances to the brink. Local family finances are still recovering from the Conservative government’s disastrous decisions that crashed our economy.
“The Government should take responsibility for funding local services, rather than once again forcing councils to increase council tax bills.”
Cllr Gittins is reminding Mr Hunt that inflation is a major factor which has not been properly accounted for in government funding. Inflation soared after the Government’s 2022 mini-budget, reaching 10.7% in January, and has since fallen to 4.6% for October largely as a result of falling energy prices.
Prime Minister Rishi Sunak said: "While it is welcome news that prices are no longer rising as quickly, we know many people are continuing to struggle, which is why we must stay the course to continue to get inflation all the way back down to 2%.”
Ever-increasing Children’s Services costs relate mainly to higher prices for supporting young people in residential and supported accommodation, while demand also continues to increase for long-term Adult Social Care arrangements. Six out of every 10 pounds go to mandatory social care funding.
Homelessness costs remain a constant pressure in the face of the cost-of-living crisis and the ongoing freeze to Local Housing Allowance (LHA).
And Home to School Transport costs for children with special educational needs and disabilities (SEND) continue to spiral due to an increase in the number of children requiring it.
A Government spokesperson previously said: “Local authorities have seen an increase in Core Spending Power of up to £5.1 billion or 9.4% in cash terms on 2022/23, with almost £60 billion available for local government in England.
“We are committed to reducing the need for temporary accommodation by preventing homelessness before it occurs in the first place, which is why we are providing councils with £1 billion through the Homelessness Prevention Grant over three years.
“We are also delivering a fairer private rented sector for tenants and landlords through the Renters Reform Bill which includes abolishing Section 21 ‘no fault’ evictions.”
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