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Local Government Update
12 December 2022
Type
Written Ministerial Statement
Department
Department for Levelling Up, Housing and Communities
At a Glance
Issue Summary
The UK government has published a local government finance settlement for the next two years, focusing on funding increases and social care support.
Action Requested
The statement proposes a minimum 3% increase in Core Spending Power for all councils before any decisions are made on council tax levels. It also includes significant additional funding for social care and plans to consult on a 2% precept for social care authorities over the next two years. The government will not oppose an additional £20 Band D bill request from the Mayor of London but expresses concern about the governance of TfL.
Key Facts
- Average councils will see a 9% increase in funding next year.
- An additional £2.8 billion has been announced for social care.
- All local authorities will receive a minimum 3% increase in Core Spending Power.
- The council tax referendum principle limits increases to up to 3% for both 2023-24 and 2024-25.
- A 2% precept consultation is planned for social care authorities over two years.
- Londoners may face an additional £20 Band D bill request from the Mayor of London.
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