Title

FINANCE

Assessing the state of the state

Jo Miller says local government must avoid the 'I'm alright Jack' attitude if we are going to realise a Britain that works for everyone with no one left behind.

This week I've been making the case on behalf of the Society of Local Authority Chief Executives for properly funded public services and the impact of fiscal policy, giving evidence to the Local Government Finance Bill committee, and meeting ministers regarding the health and social care challenge.

Local government has a chance to make a strong and compelling case for the state of the state we can afford, need and that people are willing to pay for. We go down a dangerous route when it becomes ‘every place for itself' on the distributional front.

Sure London can do better than most places when it comes to business rates, and the UK needs a strong London. Its distribution shouldn't be solved in isolation though.

The Finance Bill as it stands offers the Greater London Authority and mayoral combined authorities the opportunity to raise business rate supplements to help deliver infrastructure. While business needs certainty and assurance of due process and transparency, why aren't these provisions open to all councils?

Local government has already allowed itself to become enmeshed in an arbitrary, incoherent devolution approach, and we should beware the dangers of the same on finance.

We should start by asking ourselves and legislators what ‘good' looks like.

We embed two-tier finance raising powers and ignore distributional issues at our peril. If anyone was in any doubt that the ‘survival of the fittest, I'm alright Jack' approach was a good thing, look no further than the Brexit vote and the wave of politics sweeping the Western world. It's hard to see how either approach will enable a Britain that works for everyone with no one left behind.

Councils have long called for the ability to keep more business rate income and a reformed system must both reward councils that grow their economies and avoid undue suffering by those areas unable to do so. I can't help but wonder if in some of this we are solving the issues of yesterday rather than those of tomorrow.

Some 85% of businesses in Doncaster are SMEs and the majority of them are very small indeed. Adults and children's social care makes up 80% of revenue funding. Are those businesses really expected to pay the bulk of that burden, while major corporations seem to get off so lightly?

And what of technology and changing business models? In my own suburban village high street (around 30 shops/services) this weekend, I saw two imminent closures advertised. Both businesses moving online, as in a world of ever-squeezing margins they saw that as the best option to reduce their cost base. There goes those business rates as the companies will work from home offices.

It's clear we will have a legislative agenda overwhelmed by Brexit. But if we really are to be a country where everyone has a chance to prosper with no one left behind, it's time for some clever thinking and action by all of those with an interest in the state of the state.

Jo Miller is chief executive of Doncaster MBC and president of the Society of Local Authority Chief Executives

FINANCE

Make passing on climate emergency knowledge part of the reorganisation plan

By Cllr Peter Schwier | 09 November 2026

Whatever shape Essex takes next, its climate know-how must come with it, argues Peter Schwier.

FINANCE

Scottish councils reject reorganisation

By Martin Ford | 09 November 2026

Reorganisation is not the answer to resolving the financial crisis gripping councils, the Convention of Scottish Local Authorities (COSLA) has said.

FINANCE

Councils' public health warning over EU border deal

By Martin Ford | 09 November 2026

The Government must not repeat ‘mistakes of the past’ in pursuing a border agreement with the EU, the Association of Port Health Authorities (APHA) has said.

FINANCE

Rewiring the state: The case for a 50 to state pension age labour market measure

By Ryan Heasman | 09 November 2026

A place-based approach could tackle some of the UK’s knottiest employment issues, writes Ryan Heasman.

Popular articles by Jo Miller

-->