Budgets destroyed by inflation

Frontline services, already cut to the bone, and regeneration projects are under the greatest threat, with inflationary pressures predicted to cost councils more than £1 billion next year at least.

Councils are already cutting back on regeneration projects and looking to cut services, beyond what was already planned. Things have deteriorated massively over the past few months as energy costs have hit us.

The talk of further cuts to local government is not worrying, but terrifying

Councils and our residents, are fearful of the impact of inflation on their 2023/24 budget planning, with two-thirds warning they face a ‘threat’ or ‘extreme pressure’ to key service delivery, a recent survey has shown. 

American President Ronald Reagan once said: “Inflation is as violent as a mugger, as frightening as an armed robber and as deadly as a hit man.” And he was not wrong.

Our members are telling us that the threat to the key services that residents rely on is very real, while many regeneration projects, central to ‘levelling up’ and whatever is the Government’s growth agenda, are already being curtailed if not cancelled outright.

In recent days, government ministers have suggested that all areas, including local government, will need to make yet more cuts.

The announcement that there will not be a new spending review that recognises the impact of inflation on the cost of services is downright stupid. The talk of further cuts to local government is not worrying, but terrifying.

There are no meaningful ‘efficiencies’ left, despite what government ministers say, and our preventative services are on their knees already. 

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