Rural councils fear they have missed out in local finance settlement
Rural councils express concern that the new government funding settlement disproportionately favors deprived areas, potentially leaving rural services underfunded.Summary
Rural councils are voicing fears that they will not receive adequate funding under the Government’s new local finance settlement, with concerns that more money will be allocated to deprived areas. The Ministry of Housing, Communities and Local Government announced a total of almost £78bn for councils over three years, representing a 23% increase in core spending power by 2029. The funding system update aims to prioritize areas with the greatest need, providing a 24% per head boost to the most deprived 10% of councils. While council tax increases are capped at 3% (with an additional 2% for adult social care), rural councils like North Yorkshire are worried that funding increases will be limited to social care, neglecting other essential services which are more expensive to deliver in rural areas. Council Leader Coun Carl Les emphasized the need for a “rising tide that floats all boats,” rather than a competition between deprivation and rurality. Furthermore, North Yorkshire Council anticipates losses due to the phasing out of the UK Shared Prosperity Fund and its replacement with the Local Growth Fund.
(Source：Yorkshire Post)