ENVIRONMENT

The problems with the finance settlement

Ian Miller examines the risks and uncertainties for districts in the provisional settlement, and lists the uncomfortable topics he says ‘cannot be avoided for much longer’.

The provisional settlement for 2022-23 has been released at last – late again. When will the Department for Levelling Up, Housing and Communities honour the agreed recommendation of the Hudson review (2018) to publish the settlement ‘around 5 December'?

For most district councils, the proposed settlement is the proverbial curate's egg. Districts have experienced the largest drop in Government funding because of austerity. COVID had a disproportionate impact on their finances because they generate a higher proportion of income from sales, fees and charges. They needed to see this acknowledged through higher funding and spending power not just in 2022-23 but across the Comprehensive Spending Review (CSR) period.

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