Title

AUSTERITY

Councils warn of £2.5bn 'threat' to services

Two-thirds of surveyed councils said they either faced a ‘threat’ to or ‘extreme pressure’ on key service delivery over the next financial year, a poll has revealed.

Two-thirds of surveyed councils said they either faced a ‘threat' to or ‘extreme pressure' on key service delivery over the next financial year, a poll has revealed.

Survey data published by the Special Interest Group of Municipal Authorities (SIGOMA) showed members predicting an average inflationary pressure of £21.4m in 2023-24, which would amount to more than £1bn across its network.

For 2024-25, SIGOMA members predicted a slightly higher average pressure of £23.8m – £1.1bn across the network of 47 councils.

The overall pressure for members in the period covered by the survey was £2.5bn – £17.7m per council per year.

SIGOMA chair Sir Stephen Houghton said: ‘Our members are telling us that the threat to the key services that residents rely on is very real while many regeneration projects - central to levelling up - are already being curtailed if not cancelled outright.

‘The talk of further cuts to local government is extremely worrying – we know that it is the poorest in our communities who rely most on our services.'

He continued: ‘Our members predict that inflationary pressure will wipe more than £1bn off our budgets in real terms in each of the next two years – this following a decade of austerity and the Covid pandemic - both of which hit the most deprived areas hardest.

‘There are no meaningful efficiencies left and our preventative services have been cut to the bone.

'To stop a winter of extremely difficult decisions, the Government needs to act now to provide urgent support to the sector.'

AUSTERITY

Autumn Budget must provide the financial stability councils need

By Chris Cooke | 19 October 2026

Writing ahead of next week’s Autumn Budget, chair of SIGOMA mayor Chris Cooke says councils need a fairer, more predictable and sustainable funding system, a...

AUSTERITY

Call for long-term EFS plan

By Dan Peters | 15 October 2026

The Government must turn exceptional financial support (EFS) into a ‘managed recovery regime rather than a series of annual decisions’, a public finance chie...

AUSTERITY

EXCLUSIVE: Chiefs push for councils to be viewed equally as Government seeks to rewire the state

By Dan Peters | 14 October 2026

Council chief executives have warned Whitehall that local authorities must be treated as equal partners as the Government plans to rewire the state.

AUSTERITY

Autumn Budget: Funding counties' growth

By Steve Broadbent | 14 October 2026

Counties hold the key to growth and public service reform, but the Budget must match ambition with investment, says Steve Broadbent.

Popular articles by William Eichler

-->