Responding to the Autumn Statement announced by the Chancellor
today, Cllr James Jamieson, Chairman of the Local Government
Association, said:
“Local government is the fabric of the country, as has been
proved in the challenging years we have faced as a nation. It is
good that the Chancellor has used the Autumn Statement to act on
the LGA’s call to save local services from spiralling inflation,
demand, and cost pressures.
“While the financial outlook for councils is not as bad as feared
next year, councils recognise it will be residents and businesses
who will be asked to pay more. We have been clear that council
tax has never been the solution to meeting the long-term
pressures facing services - particularly high-demand services
like adult social care, child protection and homelessness
prevention. It also raises different amounts of money in
different parts of the country unrelated to need and adding to
the financial burden facing households.
“Councils have always supported the principle of adult social
care reforms and want to deliver them effectively but have warned
that underfunded reforms would have exacerbated significant
ongoing financial and workforce pressures. The Government needs
to use the delay announced today to ensure that funding and
support is in place for councils and providers so they can be
implemented successfully. We are pleased that government will
provide extra funding for adult social care and accepted our ask
for funding allocated towards reforms to still be available to
address inflationary pressures for both councils and social care
providers.
“The revised social rent cap for next year is higher than
anticipated and councils will still have to cope with the
additional financial burden as a result of lost
income. Councils support moves to keep social rents as low
as possible but this will have an impact on councils’ ability to
build the homes our communities desperately need - which is one
of the best ways to boost growth - and retrofit existing housing
stock to help the Government meet net zero goals.
“Financial turbulence is as damaging to local government as it is
for our businesses and financial markets and all councils and
vital services, such as social care, planning and waste and
recycling collection, and leisure centres, continue to face an
uncertain future. Councils want to work with central government
to develop a long-term strategy to deliver critical local
services and growth more effectively. Alongside certainty of
funding and greater investment, this also needs wider devolution
where local leaders have greater freedom from central government
to take decisions on how to provide vital services in their
communities.”
Notes to editors
The LGA will be publishing a detailed briefing on the
announcements in the Autumn Statement and what they mean for
local services tomorrow morning.