As I near the end of my term as Solace president, it is a time for reflection on what has been an exciting and yet challenging two years for the sector. 2024 in particular has been eventful with local and national elections, culminating in a change of government this summer.

This has inevitably brought about much uncertainty across numerous horizons. Change can be intimidating, but it also presents opportunities.

Ever the optimist, I remain hopeful ministers have not only understood local government's plight, but have drawn the link between the need for a stable sector and progress towards its missions, especially in relation to driving economic growth, getting ahead of problems before they present themselves and breaking down barriers to opportunity for future generations

One of the key things Solace has sought to do in the first few months of this new administration is to help reset the relationship between central and local government. It was a key part of a recent discussion I had with the local government minister Jim McMahon. In fact, as a sign this relationship reset is working, I am due to meet him again next week to further explore issues relating to the sector's finances, workforce challenges, devolution and much more.

This, combined with multiple meetings with senior officials on a range of policy issues, including housing and planning and health and social care, point towards a healthier partnership between central and local government. But with a Budget and Spending Review on the horizon, we will soon see whether ministers' actions match up to their words.

Given the outlook for public finances, it would be naïve for anyone in local government to think the collective £6.2bn black hole in our budgets will be immediately plugged.

I wish it wasn't the case, but tough decisions about what our councils do and don't deliver seem likely to continue being made for the foreseeable future – even though we all know many of these cuts, often made in services perceived as ‘non-statutory', are made in the certain knowledge they are only storing up even greater problems for the future. We should be investing in preventative services, not trying to cut our way out of a fiscal hole.

So, Solace will continue to argue forcefully that inadequate funding for local government is the ultimate false economy.

We will also continue to be active behind the scenes discussing and developing options for reform both in the short and long-term – because, as we keep saying, while certain technical tweaks have the potential to help alleviate some of the immediate pressures, the inescapable fact is that we need fundamental reform of the local government finance system.

Ever the optimist, I remain hopeful ministers have not only understood local government's plight, but have drawn the link between the need for a stable sector and progress towards its missions, especially in relation to driving economic growth, getting ahead of problems before they present themselves and breaking down barriers to opportunity for future generations. After all, with a manifesto containing more than 100 commitments related to local government, the country needs well-resourced and well-run councils.

I put slight stress on the word councils, because while there is plenty of welcome noise about widening and deepening devolution, this is largely seen in the context of mayoral combined authorities – a model that, even if it were universally applicable (and it isn't), is not a solution in itself. It is local authorities, not combined authorities, which are largely responsible for delivery on the ground – a point that is sadly not fully understood across Westminster and Whitehall.

On a more positive note, it has been great to see some fantastic local government colleagues being appointed to positions of national importance: Tom Riordan is now second permanent secretary at the Department for Health and Social Care, while Laura Shoaf has been appointed chair of the shadow Great British Railways organisation.

Are these early signs of a growing recognition of the talent in local government? All the more reason for a step-change in the level of investment in the future pipeline for the sector's workforce.

In my speech at last year's Summit I said I am passionate about the fact we must bring more young people into local government to create the next generation of leaders. So I was delighted that the joint Local Government Association/Solace pilot recruitment campaign in the North East was such a success it is now being rolled out nationwide.

This concept, I hasten to add, was an ask in Solace's 2021 Spending Review submission so it is brilliant to see government taking our ideas on board. Let's hope they listen to more of our proposals in our latest submission.

As I prepare to hand over to my successor at the end of this year, I suspect, just as the past couple of years have presented challenges and opportunities, the future will too.

While none of us would choose to be in the context we are currently operating, every day across the sector I see the passion, drive and determination to deliver better outcomes and improve places – and that gives me heart.

And, with the Government seemingly more in tune with the sector, I am hopeful, despite the bleak fiscal outlook. After all, it is in all our interests to work together to make public policy as effective and efficient as possible and to deliver the positive change the country needs.

Matt Prosser is president of Solace and chief executive of Dorset Council