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Local government associations unite in call for urgent review of local authority funding

Four leading local government associations have come together to urge the new government to address the critical funding challenges facing local authorities, highlighting an urgent need to bridge the growing funding gap.

The Association of Directors of Environment, Economy, Planning & Transport (ADEPT), the Association of Directors of Children's Services (ADCS), the Association of Directors of Adult Social Services (ADASS), and the Association of Directors of Public Health (ADPH) are membership associations which represent senior leaders across place services, children’s services, adult social services and public health. 

The request comes in response to the critical challenges faced by local authorities, following reduced public spending and rising service demands, leaving many on the brink of financial collapse and unable to meet the essential needs of their communities. 

Ahead of the budget announcement next week, the associations are calling for:

  • A fundamental review of local government funding.
  • Introduction of multi-year funding settlements.
  • Removal of siloed and short-term funding streams.
  • Clarity on the future of a wide range of fixed term funding pots.

In a letter to ministers, the associations emphasise their readiness to work in partnership with the government, recognising the critical role of local government in leading, managing and shaping local places, communities and services to deliver better outcomes. 

Ann Carruthers, President of ADEPT, said: “Local authorities are integral to addressing national priorities such as climate change, economic growth, social equality and public health. Local government knows its people and places best, and is able to deliver on priorities, but this can’t be done without addressing the cliff edge we now face and really investing in public services going forward. 

“Together with our association partners, we are urging the government to address the critical funding challenges facing local authorities - we need a funding model that allows us to plan long term, sustainable solutions for our communities and the environment."

Greg Fell, ADPH President, said: “As local leaders, we are responsible for ensuring that residents are able to live healthy, happy and fulfilling lives. We know what is needed to achieve that, but we are in an impossible situation, having to make incredibly difficult decisions to cut services because we simply can’t afford them. 

“To be able to implement policies that will support people to have better outcomes, we need consistent, adequate funding, and investment in a properly trained and supported workforce.”

Andy Smith, ADCS President, said: “We are at a pivotal moment in the nation’s relationship with children and young people. A growing body of evidence is clear that children’s life chances are stalling or even deteriorating in terms of education, mental or physical health, too many are criminalised, and are faced with poverty, discrimination or geographical inequalities.

“Social progress will drive economic growth. As membership associations, we urge the government to use the upcoming budget to invest in children, young people and their families, as well as the public services they rely on to help them to thrive. This investment not only benefits individual children and families, but the country as a whole via improved national wellbeing for every generation, increased earning potential, less reliance on, and cost to, the state and sustained progress on social injustices.”

Melanie Williams, President of ADASS, said: “Our latest research shows directors of social services have overspent more on adult social care budgets than in recent history. At the same time, people's needs are becoming more complex and many are waiting for an assessment of their needs. That's why the Government must now prioritise a long term, sustainably funded plan for adult social care, and work closely with local government to deliver it." 

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