In my experience, the leaders of local government are not in the business of managing decline.
While we may have different approaches, we are all very aware that it is our job to set out and deliver a positive vision for the place and our residents, while not pretending it is easy or there aren’t some unpalatable choices on our desks.
London’s borough leaders and mayors are not strangers to making difficult decisions.
The changing face of local government and public services plus the financial circumstances with which we are faced has left councils with some significant challenges to tackle.
Over the past year, we have seen huge changes in the political landscape of our country. We have a new mayor of London, a new prime minister, a new government and our city faces the fallout of the vote to leave the European Union.
London has a population the size of Wales and Scotland combined. We need 50,000 homes a year to keep pace with demand.
We have enough people out of work to fill a city the size of Leeds, but a quarter of our job vacancies remain unfilled due to a skills shortage. We have 50,000 households living in temporary accommodation.
And this is all within the context of the UK’s centralised system, where London government controls just 7% of tax raised, compared with New York’s 50% and Tokyo’s 70%.
London Councils, in partnership with the mayor, have long been calling for powers to be devolved from Whitehall. But the vast changes we are experiencing mean it is vital we get a deal now.
It was encouraging to hear a renewed commitment to devolution from the chancellor earlier this year, but the devil is going to be in the detail and we now need a positive commitment from the Treasury in the Autumn Statement.
We are not just asking for more power for the sake of it, we have specific requests around finance, health and care, housing, skills and employment.
We know boroughs and London government can be more effective in delivering in these areas – local leaders have unique and in-depth knowledge about the key issues affecting the communities they represent.
Given the challenges now facing London – including the economic uncertainty following the Brexit vote – it is essential that we seek a devolution deal that sees boroughs as equal partners with the mayor, London’s businesses and the Government in securing the future success of our city.
Our city’s position as the dominant financial services centre in Europe could be under threat.
It is therefore critical that we be more strident in our pursuit of devolution if we are to protect our capital and its residents.
With the chancellor’s Autumn Statement looming, London Councils – which represents and lobbies for all 32 boroughs and the City of London – has made its case to Government, emphasising the need to protect and grow London’s economy in order to protect the economic future of the whole country.
But while these negotiations carry on, we continue to maintain the quality of services, improve, innovate and promote growth to deliver housing and jobs for Londoners.
The pressures brought to bear by rising demand are immense. Some councils are already spending more than 70% of their total budgets on social care and larger than average growth of the 0-18 and over-65 population is set to place noticeably bigger demands on them to deliver children’s services and school places, as well as health and social care for the elderly.
Overall, the capital faces the biggest reduction in ‘core spending power’ of all regions and will be facing a funding gap of £2bn by 2020.
Even with the assumption that all boroughs will raise council tax – a highly unlikely scenario – the scale of these funding cuts coupled with inflation and a rise in demand for services means many will be unable to carry on providing the public services they currently offer.
Central government has a responsibility to ensure local councils are equipped to tackle these huge rising pressures, with funding settlements and governance arrangements that are fit for purpose.
It is not good enough to simply shift the blame. If London is to grow and thrive and meet the demands of its expanding population, it is vital devolution and greater local powers are put in place.
Cllr Claire Kober is chair of London Councils