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Government reveals council cuts of up to 8.9 per cent

1 min read Social Care Youth Work
Local authorities are facing average cuts of 4.4 per cent in central government funding, Communities Secretary Eric Pickles has announced.

The settlement distributes the £29 billion in 2011/12 and the £27 billion in 2012/13 that the October Spending Review allocated to local authorities through the formula grant.

Pickles said the settlement ensures that no council faces a reduction of more than 8.9 per cent in spending power in either financial year.

"There has been a great deal of speculation and scaremongering about what the implications of the local government settlement might be," he explained.

"The reality is that despite the toughest economic circumstances in recent memory, the coalition government will ensure that next year the average reduction in councils' spending power will be 4.4 per cent.

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