SIGOMA responds to £600m of new funding for local government

Posted on January 25, 2024

Responding to the news that local government would receive an additional £600m, Cllr Sir Stephen Houghton, chair of the Special Interest Group of Municipal Authorities (SIGOMA), said:

“This increase in funding is welcome and will help councils in the short-term. However, it won’t address the long-term funding gap or the need for reform of the broken local government finance model. This unprecedented increase before the final settlement shows that there is a growing understanding within the Government about the crisis in local government finances. These pressures have been well-documented for some time, so it is disappointing that the funding has only been announced at this late hour.

“More funding will be required to match the current level of demand-led pressures and stabilise the sector. It is welcome that most of the funding will be allocated though the social care grant. Social care, particularly children’s services, is the largest current pressure for the sector and the area most in need of additional grant funding.”

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