Derby City Council responds to the Autumn Statement
Published: 24 November 2023
The Council's concerns are echoed by other local authorities across the country.
Derby City Council expresses concerns about the overall lack of funding for local government in this year’s Autumn Statement.
Leader of Derby City Council, Cllr Baggy Shanker, said:
“We are deeply concerned and disappointed that the pressures on Local Government finances have not been addressed by government – who have yet again turned a deaf ear to our pleas. We are seeing time and time again, complete disregard for councils and the demands we face every day, and non-recognition for the leading role councils could play in their regions with the right long-term funding.
“Councils want to be able to invest in their places, their communities and their people, but ultimately the overall level of funding for local government is not enough to meet the growing needs for services, especially around adult social care, where we have a large and growing population of people with complex needs.
“In Derby, our current forecast sees an overspend of £6.5million at the end of this financial year. If this overspend persists, it will deplete the Council's reserves and intensify the pressure to cut services in 2024/25. We have made every effort to streamline operations and implement cost-saving measures, but without adequate funding, these efforts alone will not be enough to sustain us in the long run."
“We’re not letting this stop us in Derby and we continue to remain ambitious for our city. So far this year – to name a few -we’ve worked to ensure our local community libraries remain open for our residents and put them on the path to sustainability. We’ve moved forward with a free bulky waste service, which will come into place later this year, and we’re in the final stages of establishing a City Centre taskforce that will ensure Derby continues its road to prosperity. But without proper intervention, this work risks being in vain.
“We are urging government to provide more funding for the sector, so that we can safeguard the vital services that our residents rely on. We desperately need government to rethink their approach.
“They must understand the critical role that councils can play, in unlocking employment opportunities, constructing affordable housing, creating jobs, addressing skills gaps, and fulfilling other government objectives, but only with the right mitigations and long-term funding.
The time for complacency is over. The government must act now to avert the impending crisis that looms over local government. We cannot afford to let our communities fall through the cracks.”
The Council's concerns are echoed by other local authorities across the country. The Local Government Association (LGA) has said that the Autumn Statement "fails to provide the level of funding needed to protect vital local services".
The LGA's chairman, Shaun Davies, said: "The government's failure to address the funding crisis facing local government is a major blow to communities across the country. Councils are facing a perfect storm of rising costs, increasing demand for services and a real-terms cut in funding. This is simply unsustainable.”
Government funding for 2024/25 will be announced in late December, following the presentation of the city’s Mid-term Financial Plan (MTFP) proposals next month.