Date issued: 30 October 2024
Today, the Government unveiled its tax and spending plans in the Budget 2024, aiming to boost economic growth, protect workers’ pay, and support public services.
Key measures include increased investment in local authority budgets, initiatives to tackle homelessness and rough sleeping, changes to the Right to Buy policy, and a commitment to expanding affordable housing.
Responding to the Budget, Cllr David King, Leader of Colchester City Council, said: “The promises to invest in the NHS and other public services will be welcomed by Colchester residents and beyond.
“However, while today’s funding announcements are positive for some, they fall well short of addressing the significant financial pressures faced by local authorities. The additional £1.3 billion for local authority budgets will help support some essential services. But it is only around 1%. And contrasts with the extra budget pressures posed by the 6.7% increase in the living wage and the 1.2% rise in employer national insurance contributions. These changes will impact our core staff budgets and add further strain to our already stretched resources.
“I am proud of the progress we are making under our Fit for the Future programme to transform services in Colchester, ensuring we live within our means and deliver modern services for our residents. However, without a long-term financial settlement from the Government, it is unsustainable to expect us to continue doing more with less.
“This marks the seventh consecutive year that councils have been promised a one-year settlement. We need greater funding certainty through multi-year settlements to drive economic growth, create jobs, and build homes – all achievable with stable, long-term financial plans.”
The Government also announced plans to support investment in and the supply of affordable housing.
The Cllr Paul Smith, Portfolio Holder for Housing said: “We have been among the 109 councils urging the Government to seize this once-in-a-generation opportunity to fix England’s broken council housing finances and address unsustainable debt. I welcome the news of a £3.1 billion investment to increase the supply of affordable homes. However, I believe this will not be sufficient to meet the housing needs over the coming years and much more will need to be done.”
Page last reviewed: 30 October 2024