Council calls for clarity on local government funding

We're on track to balance the books but funding uncertainty poses big challenges

Graphic showing latest news on council's budget

Leicestershire County Council is calling on the Government to ‘level with us' on plans for funding as it considers an update on its budget.
 
Successfully managing demand for adult social care, combined with reducing inflation, means the authority is on track to balance the books this year.
 
A new report shows that delivering adult support packages differently is set to reduce costs by £13m, although rising demand for children’s social care is adding £9m more.
 
The latest forecast says uncertainty on Government spending plans poses the biggest financial challenge and, if support isn’t forthcoming, the council’s budget gap could exceed £100m by 2028.
 
Today (Friday), cabinet members called on the Government to set out ‘a clear road map’. 

Adopting a firm, long term grip on our finances is why we’ve not hit crisis point. Despite being poorly funded, we’re efficient and we’re lean and remain one of the top performing county councils in the country.
 
We’ve drawn up plans to boost buses, fill more pot holes and support vulnerable children and families but uncertainty around local government funding is leaving councils in limbo. That’s why we want the Government to level with us on funding plans, set out a clear road map and prioritise reform of support for children with special educational needs and disabilities.


Growing construction costs also remain an issue for big one-off capital projects, including the north and eastern leg of the Melton Mowbray Distributor Road. Construction of the 7.1km road is progressing well but extreme weather - including storms Babet and Henk - unstable ground conditions in key locations, utility delays and a wealth of archaeological finds are all increasing costs which the council is having to manage.
 
Lee Breckon added: “We’re doing what we can with the money we have, but things are incredibly tight. Clarity on local government spending will enable us to go further in protecting the core services that matter to people.”
 
Cabinet members today also urged the Government to commit to extra funding for buses and roads announced earlier this year.
 
The council is planning to use £7.4m of Government cash to make bus travel more affordable, reliable, easy to use and green, including commissioning new services.
 
Councillor Ozzy O’Shea, county council cabinet member for transport, said: “There’s a shifting picture for bus users. From being unable to support struggling commercial services, the injection of increased funding from the Government is a game-changer for passenger transport.
 
“We want to improve links for our more rural communities and we’re looking at app-based and flexible transport solutions, enabling people to book smaller vehicles which can be a more effective way of keeping them connected.
 
“We’re also calling for confirmation of the funding commitment made by the previous Government for road maintenance, which is absolutely essential, and for local transport. Both open up opportunities for us to do more with buses and other local transport priorities across Leicestershire.”
 
Watch today’s cabinet meeting 

 

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