County leaders call for clarity over resources

The County Councils Network (CCN) has urged for ‘immediate clarity’ over resources for councils next year.

County leaders have published a new five-point plan for the new government, a Five-Point Plan for Local Government, which calls for an immediate plan from the government for councils with the Spending Review unlikely this year owning to Brexit.

Local government currently faces a £5.2 billion funding black hole next year, even if all councils raise council tax and there were no reductions in funding. The CCN says that counties have the largest gap of £2.1 billion, and is therefore calling for emergency resource, targeted at the areas in most need.

CCN is also calling on the new government to commit to seeing the Fair Funding Review through to completion and that it must genuinely seek to rebalance funding inequalities between rural and urban locations.

In the document, CCN says that it would be ‘extremely disappointed’ if the review is delayed but warned that it cannot be abandoned, and ministers must work with councils and the local government sector to finalise proposals. 

More widely, the plan sets out a wide-ranging positive agenda to support post-Brexit growth and prosperity. If supported by the right devolved powers and funding, particularly in areas such as strategic planning, infrastructure, and skills, it argues that county authorities can deliver our shared objectives of strong economic and employment growth for UKplc, sustainable housing growth and improved social mobility for the next generation.

It contains recommendations on the role of counties in strategic planning and infrastructure; a request to revisit reforms to Local Enterprise Partnerships introduced last year; and our support for the government to press ahead with the publication of a common devolution framework.

Cllr David Williams, County Councils Network chairman-elect and leader of Hertfordshire County Council, said: “We are currently living through some of the most unprecedented political times in recent memory. As such, much of the attention of the new government will be focused on Brexit. Yet the inescapable fact is that there are huge domestic challenges – and opportunities – facing the new administration.

"This is why CCN has published this Five-Point Plan for Local Government. This is both pragmatic and achievable enabling the new government to hit the ground running – and which can be delivered without legislation. It seeks to deal with the financial uncertainty councils are facing across the country. If a year Spending Review cannot take place this year, it outlines the steps government needs to take to help close the £5.2bn funding gap facing councils, while ensuring resources are targeted on councils who face the greatest financial challenge.

“In taking forward our plan, I will support the new Secretary of State for Local Government in making a powerful case to the Treasury for emergency funding for councils next year to protect crucial frontline services. At the same time, it is paramount that we get a cast-iron commitment to adopt Fair Funding at the earliest opportunity and contribute to rebalancing the funding inequities between county and urban areas.

“Importantly, this document also sets out a wider, more positive agenda. CCN member councils are more than just social care authorities, they are the key local agency that can engineer public service reform at scale and support the government in delivering post-Brexit growth and prosperity”.