House of Commons · Written Ministerial Statement
Local Government Finance Update
24 January 2024 · Department for Levelling Up, Housing and Communities
Proposed by Michael Gove Con Surrey Heath
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The government is providing an extra 500 million for social care funding.
- The Funding Guarantee for local authorities is being increased to a minimum of 4%.
- An expert panel on financial sustainability for local authorities is being established.
Issue summary
The statement discusses additional measures for local authorities, including new funding and increased Core Spending Power.
Action requested
The government is providing an extra £500 million for social care and increasing the Funding Guarantee to a minimum of 4%. They are also introducing productivity plans for local authorities and establishing an expert panel on financial sustainability. The final Local Government Finance Settlement will be published next month.
Key facts
- An additional £600 million funding is being provided, including £500 million for social care.
- Core Spending Power will increase by up to £4.5 billion or 7.5% in cash terms from £60.2 billion to £64.7 billion next year.
- The Funding Guarantee increases to a minimum of 4%, up from the previously proposed 3%.
- A £15 million increase in the Rural Services Delivery Grant, making available a total of £110 million for 2024-25.
- Additional funding of £3 million will be provided outside the Settlement to support local authorities with Internal Drainage Board levies.