Earlier this month, the LGiU published its 13th annual State of Local Government Finance survey.
The survey paints a picture of the pressures facing councils across England and sets out what many of us experience daily – rising demand for services, escalating costs and structural funding system challenges that continue to strain finances.
This year has already brought several significant developments to our funding system, including the first multi-year settlement in 10 years and the implementation of Fair Funding Review 2.0.
In this year's final settlement there were also some surprises – the Government's decision to underwrite 90% of historic special educational needs and disabilities deficits was welcomed and will go some way to easing one of, if not the most acute, financial burden for our sector.
These feel like first steps, taking us toward a more transparent and equitable distribution of resources. But the survey makes clear that councils cannot raise sufficient revenue to meet the needs of their communities. Social care, temporary accommodation and waste reform pressures continue to intensify, as does the use of exceptional financial support. What remained was the small set of levers available to balance budgets. These levers haven't changed in years and have been pulled repeatedly.
Our sector demonstrates time and time again, ingenuity, professionalism and unwavering commitment, but resilience alone cannot compensate for the limitations of a structurally constrained system. The survey's findings highlight where deeper and long-term solutions are needed and recommendations on how policy progresses.
I am grateful to LGiU for amplifying the lived experience of section 151 officers, chief executives and leaders. Creating a sustainable future for local government finance is essential and this report is an important step forward on that journey.
Tracy Bingham is executive director – resources and transformation (s151 officer) at South Derbyshire DC
