Local government leaders have called for a period of stability as they prepare for even more cuts to come.

The Local Government (LGA) called on the Government has called for no more cuts as councils prepare for the ‘crunch year' of 2015/16.

The LGA has also called on the Treasury to drop its plans to withhold an extra £1bn in 2015/16, which has been top-sliced under the ‘new burdens' rules.

They have also called for councils to retain the full growth in the local share of business reductions, without any corresponding cut in grant funding.

‘The next two years are make or break for many councils and the Chancellor has it in his power to either deliver a stable environment in which they can plan for the unprecedented challenges ahead, or he can delivery uncertainty and risk, which will put even more stress on vital local services and push councils toward failure,' said LGA chairman, Sir Merrick Cockell.

The chief executive of the Local Government Information Unit (LGiU), Jonathan Carr-West said it was ‘good to see the LGA fighting local government's corner like this'.