Title

FINANCE

The recovery continues

Cllr Sir Stephen Houghton says the local government finance settlement is key to delivering fairer funding.

© Inna Kot/Shutterstock.com.

Over the last 15 years, the most deprived authorities have faced devastating real-term cuts, while many of the least deprived councils have seen increases in funding. The local government finance system was broken. Seizing the opportunity presented by the government's Fair Funding Review, we launched our campaign ‘Towards a Fairer Future' to lobby for a fairer funding system, and we are pleased that our key asks have formed the foundation of the new system.

Funding based on deprivation and need is the cornerstone of the new, fairer system. The clearest example of targeted, deprivation-based funding is the Recovery Grant, and the boost to this crucial funding is strongly welcome. Introduced by the Government last year, the Recovery Grant was a lifeline for many of our members representing the most deprived communities.  Our members benefitted from three quarters of this additional funding, delivering on the Government's commitment to direct funding to the areas that need it the most. 

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