“Unpalatable” financial cuts in council services to save money which will affect “the most vulnerable in society” might be necessary to prevent “a financial crisis”, Swindon Borough Council has told the government.
Following in the wake of stark warning from Kent and Hampshire councils to the prime minister and chancellor, the leader of Swindon Borough Council David Renard has also written to the PM, the chancellor and the secretary of state for levelling up, housing and communities, Michael Gove.
And in the measured language of local government, it pulls no punches.
Coun Renard’s letters says: “Upper tier local government is facing a financial crisis. Unitary councils face the ‘double whammy’ of increased demand and reduced incomes which have not returned to pre-pandemic levels.
“Swindon Borough Council has comparatively low council tax and low spending compared with its peers and a strong track record over 18 years of delivering within budgets.
“However, we too are facing budget deficits over the next few years of a scale that has never been seen before.
“We have spent the past year looking at how far we can go in closing our future revenue budget gap and whilst we have considered every remaining option available to us to generate savings and efficiencies, most of these are going to be very unpalatable and will impact on some of the most vulnerable in our society.”
Coun Renard says a high rate of inflation, which has increased the cost of heating, energy and fuel, plus increases in pay for council staff and care sector staff as well an increase in demand for adults’ and children’s social care and help means there is currently a £38m hole in Euclid Street’s budget for 2023-24.
With a legal duty to balance the books and provide social care services, Coun Renard said other areas might bear the brunt of cuts: “Services including planning, waste and recycling collection, libraries and leisure centres face an uncertain future due to the squeeze on funding and prioritising on the social care expectations.”
He asks the government for increases in government funding that are enough to match the demand in social care, or a change in the law on what council’s must provide.
He also requests: “Freedoms and flexibilities around council tax setting and charging for services and legislative change that can help local government help itself.
“We want to work with you to develop a long-term strategy to deliver critical local services and growth more.”
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