Michael Gove, the Secretary of State for Levelling Up, announced today, December 19, 2022, that councils in England will get almost £60 billion for the next financial year. This is to make sure that councils can continue to provide important frontline services.
The settlement gives councils in England an extra £5 billion, which is a 9% increase over what they got last year. This shows that the government continues to support councils and public services in the face of financial pressures.
The agreement for next year includes a one-time Funding Guarantee that makes sure every council in England will get at least a 3% increase in core spending power before any local decisions are made about council tax. Along with this, the government is confirming today a new £100 million scheme for councils to protect the most vulnerable households from council tax increases. This is in line with the promise made in the election campaign to protect local taxpayers from too much tax hikes.
Social care is also a priority, and the government is giving an extra £2 billion in grants for social care for adults and children in 2023/24. Also, NHS England will get £300 million to help increase capacity by making it easier for patients to leave the hospital.
After hearing what councils had to say, the government has given more certainty up to 2024/25 by laying out spending plans for the next two years. This will make it easier for town halls to plan ahead.
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