Whitehall officials are not expecting councils to issue further section 114 notices in the coming weeks, crediting the sector's ‘positive' settlement for an improved outlook.

Speaking at a select committee hearing yesterday, permanent secretary at the Department for Levelling Up, Housing and Communities (DLUHC), Jeremy Pocklington, discussed the sector's finances ahead of what is likely to be a difficult year marred by continued inflation, pay disputes, cost pressures and soaring demand.