House of Commons · Written Ministerial Statement
Local Government Finance Update
29 February 2024 · Department for Levelling Up, Housing and Communities
Proposed by Simon Hoare Con North Dorset
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The final Local Government Finance Settlement for England for 2024-25 includes new funding of 600 million.
- The settlement increases Core Spending Power by up to 4.5 billion.
- In-principle capitalisation directions are proposed for local authorities facing financial difficulties, subject to conditions.
Issue summary
The statement addresses the final Local Government Finance Settlement for England for 2024-25 and provides updates on funding and support measures for local authorities.
Action requested
The settlement includes new funding of £600 million, an increase in Core Spending Power by up to £4.5 billion, and in-principle capitalisation directions for a small number of local authorities facing financial difficulties. These directions are subject to conditions that ensure they are only used when necessary and include measures for improvement and recovery.
Key facts
- The final Local Government Finance Settlement for England is worth up to £64.7 billion.
- Core Spending Power has increased by up to £4.5 billion or 7.5% in cash terms compared to 2023-24.
- In-principle capitalisation directions have been provided to local authorities including Birmingham, Croydon, Liverpool, Nottingham, Sandwell, Slough, Thurrock, Woking, and Plymouth Councils.
- Conditions apply for the use of capitalisation directions to ensure they are used only in necessary circumstances and to address financial management issues.