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Local Government Finance
06 February 2020
Type
Written Ministerial Statement
Department
Ministry of Housing, Communities and Local Government
At a Glance
Issue Summary
The statement presents the final local government finance settlement for England in 2020-21, including an increase in Core Spending Power and additional funding for social care.
Action Requested
The minister announces a £49.2 billion core spending power increase for 2020-21, with £6 billion dedicated to social care, allowing councils to raise council tax by up to 4% for adult social care services without a referendum. The New Homes Bonus will receive £907 million and the Rural Services Delivery Grant will remain at £81 million.
Key Facts
- Local government finance settlement delivers an increase in Core Spending Power from £46.2 billion to £49.2 billion.
- Additional £1.5 billion for social care, including a proposed 2% council tax precept and £1 billion grant.
- New Homes Bonus allocations amounting to £907 million with an additional £7 million commitment.
- Rural Services Delivery Grant maintained at £81 million.
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Assessment & feedback
Summary accuracy