Commons Sense

House of Commons · Written Ministerial Statement

Local Government Update

02 July 2020 · Ministry of Housing, Communities and Local Government

Proposed by Robert Jenrick Reform Newark

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • Local Government receives an additional 500 million to manage costs during the pandemic recovery.
  • A co-payment scheme is introduced to compensate councils for income losses.
  • Repayment of collection fund deficits will be spread over three years to provide budget planning flexibility.

Issue summary

The Minister is outlining additional financial support for local government during the pandemic recovery.

Action requested

The Government is providing an extra £500 million to help councils manage costs and has introduced a co-payment scheme to compensate for income losses. The repayment of collection fund deficits will be spread over three years instead of one, giving councils more flexibility in budget planning.

Key facts

  • £27 billion provided to support local councils, businesses, and communities.
  • £3.8 billion specifically for local authorities.
  • Additional £500 million announced for further spending pressures.
  • Co-payment scheme covering 75p of losses beyond the first 5%.
  • Repayment of collection fund deficits spread over three years.
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