Harborough MP Joins Call For More Council Funding

Written by on 24th January 2024

Harborough’s MP is demanding extra funding for local councils to avoid cuts to services.

Neil O’Brien is one of over 40 Conservative MPs to sign a letter to the Prime Minister, which warns residents face a ‘double whammy’ of reductions in services and higher council tax rates for local authorities to deliver a balanced budget.

They want Rishi Sunak to act in the wake of some councils going bankrupt and others warning of serious financial difficulties, including Leicestershire County Council.

It is the lowest funded county council in the country and has warned a ‘dire’ financial situation could see its spending outstrip its income by more than £100m by 2027.

Harborough District Council predicts a £7.2m  budget gap from 2025/26.

The letter, which has also been signed by South Leicestershire MP Alberto Costa, urges the government to provide extra funding for local authorities ahead of a vote in the Commons next month ‘to ensure that the councils in our areas can continue to provide the services that our residents depend upon’.

Mr O’Brien told HFM why he signed the letter:

 

A spokesperson for the Department for Levelling Up, Housing and Communities said: “We recognise councils are facing challenges and that is why we have announced a £64bn funding package – a real terms increase at an average of 6.5% – to ensure they can continue making a difference, alongside our combined efforts to level up.

“We recently consulted on the final settlement for next year and are now considering the responses carefully. Councils are ultimately responsible for their own finances, but we remain ready to talk to any concerned about its financial position.”


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