• Publish Your article
  • Editorial Policy
  • Contact
  • Advertise
Saturday, March 28, 2026
No Result
View All Result
UK Herald
  • Home
  • Politics
  • Business
  • Entertainment
    • All
    • Sports
    England rugby stadium Twickenham given new name after more than 100 years in shock new deal

    England rugby stadium Twickenham given new name after more than 100 years in shock new deal

    Peter Morgan dead at 65: Former Wales and Lions rugby star who became a politician passes away as club pays tribute

    Peter Morgan dead at 65: Former Wales and Lions rugby star who became a politician passes away as club pays tribute

    Horse racing tips: Unexposed Group 1 contender can stun the big guns at 14-1

    Horse racing tips: Unexposed Group 1 contender can stun the big guns at 14-1

    Woman ‘raped seven times by two French rugby stars who left her riddled with bite marks & with horror injuries’

    Woman ‘raped seven times by two French rugby stars who left her riddled with bite marks & with horror injuries’

    Horse racing tips: Gary Moore’s charge can gain revenge after falling last time out

    Horse racing tips: Gary Moore’s charge can gain revenge after falling last time out

    Ian Buckett dead at 56: Former Wales rugby star who was ‘admired and feared equally’ dies as tributes pour in

    Ian Buckett dead at 56: Former Wales rugby star who was ‘admired and feared equally’ dies as tributes pour in

    Horse racing tips: Bash the bookies with these longshots including 9-1 fancy

    Horse racing tips: Bash the bookies with these longshots including 9-1 fancy

    Shayne Philpott dead at 58 – New Zealand All Blacks rugby legend dies after suffering ‘medical event’

    Shayne Philpott dead at 58 – New Zealand All Blacks rugby legend dies after suffering ‘medical event’

    Horse racing tips: This 7-1 chance appears to have been laid out for race he won last year

    Horse racing tips: This 7-1 chance appears to have been laid out for race he won last year

  • Lifestyle
    • All
    • Fashion
    • food
    • Health
    • Travel
    New £5 bus ticket will let you explore more than 100 UK towns and cities

    New £5 bus ticket will let you explore more than 100 UK towns and cities

    My family spent £1,920 on a weekend at Center Parcs — here’s exactly what we got

    My family spent £1,920 on a weekend at Center Parcs — here’s exactly what we got

    ‘One of a kind’ UK beach named world’s third best – even topping Hawaii

    ‘One of a kind’ UK beach named world’s third best – even topping Hawaii

    7 of the UK’s prettiest towns and villages to while away an afternoon in

    7 of the UK’s prettiest towns and villages to while away an afternoon in

    Is it safe to travel to Dubai right now? Emirates cancels all flights amid Iran strikes

    Is it safe to travel to Dubai right now? Emirates cancels all flights amid Iran strikes

    Why you should always throw a water bottle under your hotel bed

    Why you should always throw a water bottle under your hotel bed

    The Lisbon hotel that’s perfect for a spring city break

    The Lisbon hotel that’s perfect for a spring city break

    Escape winter blues with a Caribbean cruise on Norwegian’s luxury Prima Class

    Escape winter blues with a Caribbean cruise on Norwegian’s luxury Prima Class

    Breathtaking European destinations to explore in 2026 — with direct UK flights from £18.99

    Breathtaking European destinations to explore in 2026 — with direct UK flights from £18.99

    The spring European destination with Japan-like cherry blossom and £22 flights

    The spring European destination with Japan-like cherry blossom and £22 flights

    Trending Tags

    • Golden Globes
    • Mr. Robot
    • MotoGP 2017
    • Climate Change
    • Flat Earth
  • Health
  • Opinion
  • Science
  • Tech
  • Crypto
  • Travel
  • Real Estate
  • Sports
  • More
    • Press Release
UK Herald
No Result
View All Result

Back from the brink: how to rescue local government finance

by Justin Marsh
December 15, 2024
0
0
SHARES
Share on FacebookShare on TwitterReddit


England’s local authorities are on the verge of financial collapse. Overburdened by mounting service demand, chronic underfunding, and a stiflingly centralised system, without urgent, radical reform, our public services will crumble.

The numbers are stark: some estimate that authorities face a combined deficit of £9.6 billion by 2026-27 and only 14 of 317 authorities expect to balance their budgets by then. High-profile bankruptcies, including Birmingham City Council, underscore the severity of the crisis. Meanwhile, many authorities are selling assets or taking risky financial gambles to stay afloat, with borrowing-to-income ratios in some cases exceeding 80:1.

English authorities lack autonomy to raise revenue or implement local solutions. Instead, they are trapped in a reactive cycle, addressing crises only when they become unavoidable — and far costlier. Services like adult social care and temporary accommodation are bearing the brunt of this vicious cycle, leaving authorities overstretched and communities underserved.

To save local government, Whitehall must act decisively. Yesterday, Reform think tank published ‘Back from the brink’which outlines decisive reform to rescue local finances and embed sustainability into the system.

Local services are on the brink of collapse now and cannot wait to reap the benefits of structural reform. This is particularly the case for adult social care which has become an extortionate cost on local authorities, with local authorities spending £22.5 billion in 2022-23. High costs place extensive pressure on authority budgets, in turn exposing some of England’s most vulnerable to inadequate or absent care.

To address this, Reform urges government to immediately divert £1 billion of health system funding into the social care system. In the Autumn budget, central government announced £600 million of funding for adult social care. Meanwhile, an additional £22.6 billion was announced for the health system.

This disparity in funding has been seen time and time again, exposing the trend of funnelling money towards the acute end of care and ignoring other parts of the system. As such, the report wants to correct this balance by redirecting less than 5% of the additional health funding to authorities responsible for adult social care.

Short-term relief measures, while necessary to cope with immediate need, fail to address the underlying structural issues and keep the system trapped in a cycle of crisis management. Government must move away from the sticking plaster solution of ad-hoc funding and instead undertake radical action to reimagine the system. Long-term thinking is vital to bring local finances onto a sustainable path, not only to prevent crisis but to support quality services that improve lives.

This kind of long-termism is the focus of Reform’s paper, with one recommendation proposing that ‘mature’ combined authorities should be able to retain a specified portion of income tax. Devolving a small percentage of locally-raised income tax revenue would create a reliable long-term funding stream and would empower the regions to make strategic decisions tailored to local need.

Local authorities are at their limit. They are no longer able to afford the services they are mandated to deliver. Radical reform must start now to rescue them from this crisis, and bring them back from the brink. 

Politics.co.uk is the UK’s leading digital-only political website. Subscribe to our daily newsletter for all the latest news and analysis.

The post Back from the brink: how to rescue local government finance appeared first on Politics.co.uk.



Source link

Related Posts

Steve Darling MP: ‘The government has a proven lever for growth in its hands – it’s called Access to Work’

Steve Darling MP: ‘The government has a proven lever for growth in its hands – it’s called Access to Work’

by Justin Marsh
March 27, 2026
0

We don’t talk enough about the power of the disabled workforce to kickstart the nation’s ailing economy. Barely a week goes by that we don’t lament our flatlining productivity, with pundits and...

Labour must not bind Britain’s fate to the failing electoral system

Labour must not bind Britain’s fate to the failing electoral system

by Justin Marsh
March 23, 2026
0

It’s fair to say that British democracy is in ill health. Labour has inherited rock bottom public trust in politics and a state wracked by austerity. We are working to show that...

Connor Naismith MP: ‘Why Blue Labour is a key component of True Labour’

Connor Naismith MP: ‘Why Blue Labour is a key component of True Labour’

by Justin Marsh
March 21, 2026
0

The Gorton and Denton By-election has rightly prompted much soul searching for the Labour Party. One particular piece of analysis arising from the catastrophic defeat is that “Blue Labour”, the party’s socially...

A legal anomaly is costing the NHS billions

A legal anomaly is costing the NHS billions

by Justin Marsh
March 19, 2026
0

The NHS is one of Britain’s most cherished institutions, providing care to millions of patients each year. Yet questions remain about whether every resource is directed towards its core purpose of treating...

Ben Goldsborough: ‘Biosecurity must be placed at the heart of our national security strategy’

Ben Goldsborough: ‘Biosecurity must be placed at the heart of our national security strategy’

by Justin Marsh
March 3, 2026
0

This year marks 25 years since the devastating 2001 foot and mouth outbreak. For many, it is a distant memory. For our farmers, it is not. It is a reminder of how...

The Green surge is coming for Keir Starmer

The Green surge is coming for Keir Starmer

by Justin Marsh
March 1, 2026
0

The Gorton and Denton by-election is historic by any measure. The result marks the first time that the Green Party of England and Wales, which has existed in one form or another...

Next Post
‘I never pay’ – UK Travellers are finding extreme hacks to avoid extra luggage fees

‘I never pay’ – UK Travellers are finding extreme hacks to avoid extra luggage fees

Popular News

Steve Darling MP: ‘The government has a proven lever for growth in its hands – it’s called Access to Work’

Steve Darling MP: ‘The government has a proven lever for growth in its hands – it’s called Access to Work’

March 27, 2026
Rolls-Royce to launch ultra-exclusive Coachbuild Collection cars – and the first will be an EV

Rolls-Royce to launch ultra-exclusive Coachbuild Collection cars – and the first will be an EV

March 25, 2026
New £5 bus ticket will let you explore more than 100 UK towns and cities

New £5 bus ticket will let you explore more than 100 UK towns and cities

March 25, 2026
Signature on crucial Prince Harry privacy case statement ‘forged’, says key witness

Signature on crucial Prince Harry privacy case statement ‘forged’, says key witness

March 24, 2026
Labour must not bind Britain’s fate to the failing electoral system

Labour must not bind Britain’s fate to the failing electoral system

March 23, 2026
Drivers who park on pavements face £100 fines

Drivers who park on pavements face £100 fines

March 22, 2026
My family spent £1,920 on a weekend at Center Parcs — here’s exactly what we got

My family spent £1,920 on a weekend at Center Parcs — here’s exactly what we got

March 22, 2026
UK Herald

All Rights Reserved © UK HERALD - The Voice of UK

Important Links

  • Publish Your article
  • Editorial Policy
  • Contact
  • Advertise

...

No Result
View All Result
  • Home
  • Politics
  • UK News
  • Business
  • Science
  • National
  • Entertainment
  • Gaming
  • Sports
  • Fashion
  • Lifestyle
  • Travel
  • Health
  • Food

All Rights Reserved © UK HERALD - The Voice of UK