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Local Government Funding: North-west England
21 October 2025
Lead MP
Tom Morrison
Cheadle
LD
Responding Minister
Alison McGovern
Tags
Social CareEconomyHousingTransport
Word Count: 3364
Other Contributors: 3
At a Glance
Tom Morrison raised concerns about local government funding: north-west england in Westminster Hall. A government minister responded.
Key Requests to Government:
The Government should commit to funding for local towns and cities across all regions, ensuring a two-way dialogue with local government to address challenges. There is no need to wait for three years; they should crack on with reviewing social care funding immediately.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
The level of council tax and further increases are unsustainable for many working households, such as Stuart's situation in Cheadle Hulme. The Local Government Association reports that 29 councils needed exceptional financial support in 2025-26 to set a balanced budget, which is 11 more than the previous year. Stockport council missed out on recovery funding despite having some of the most deprived wards in the UK and will be underfunded by £63 million in three years’ time.
Jim Shannon
DUP
Strangford
He commends the hon. Gentleman and underlines the importance of local government, suggesting that Government’s interaction with local government should be the first stop when organising funding and understanding real issues on the streets.
Jonathan Hinder
Lab
Pendle and Clitheroe
Mr Hinder agrees with the hon. Member for Cheadle that council tax is regressive and supports finding a new way forward to reform it.
Lisa Smart
LD
Hazel Grove
She agrees with her hon. Friend about the underfunding of local government, particularly in their part of the world, and highlights the unsustainability of social care funding despite increasing demand.
Government Response
Alison McGovern
The Minister for Local Government and Homelessness
Government Response
The Minister acknowledges the challenges faced by local government since the Osborne cuts, committing to rebuild and stabilise funding. She highlights that £69 billion of funding was made available through core spending power in 2025-26, with £146 million allocated to the north-west under the recovery grant scheme. The Government aims to redirect around £2 billion of existing funding towards communities in need, and introduces multi-year settlements for local authorities to enable forward planning and focus on prevention. We are committed to reforming the adult social care system by considering recommendations from Baroness Casey's independent commission. The government has invested an extra £500 million into a fair pay agreement for care workers. For special educational needs and disabilities, funding for schools is increasing by over £4.7 billion annually by 2028-29. We have also announced a two-year extension to the DSG statutory override until March 2028 to support local authorities with historical deficits. The government has invested over £1 billion in homelessness and rough sleeping services this year, an extra £316 million compared to the previous year. In the north-west, the Government are investing over £1.5 billion through the local regeneration fund, including a £1.2 million active travel package for Stockport, £4.4 million for Cheadle eco business park, and £8.2 million for Cheadle railway station. We have also established single-tier councils in Lancashire as part of our ambition to see all of England access devolved powers through strategic authorities.
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About Westminster Hall Debates
Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.