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Northamptonshire councils hit back at 'disappointing' funding

BBC Man with short dark hair and faint beard wearing a jacket in front of North Northamptonshire Council signsBBC
The leader of North Northamptonshire Council, Jason Smithers, said the council's costs were "far in excess of the funding available"

A council has criticised a lack of central government support and has warned people to expect "more severe reductions" in local services.

Earlier this week, Levelling Up Secretary Michael Gove said councils would have £64bn to spend next year.

West Northamptonshire Council (WNC) said it was "disappointed".

Meanwhile, North Northamptonshire Council (NNC) said the package failed to address "significant problems" facing local authorities.

"This will inevitably mean more difficult decisions to come if no further government support is forthcoming and at a time when the council is acutely aware of the burden it could place on households," said NNC Conservative leader Jason Smithers.

"Growth in demand together with excessive inflationary increases have driven costs far in excess of the funding available, pushing councils such as ours to seek further and more severe reductions in the services valued by residents."

Man wit short hair wearing a suit and tie stands with Northampton Guildhall in the background
WNC leader Jonathan Nunn said the council was always having to do "more with less"

North and West Northamptonshire councils were established two years ago after the old county council "effectively became insolvent".

Both are Conservative-controlled and have struggled to balance their budgets.

The government said councils in England would collectively have £3.9bn more in 2024 than last year - an increase of 6.5% - although the figure assumes councils would increase the tax they collect from residents by 4.99% - which both West and North Northamptonshire plan to do.

NNC is forecasting a budget shortfall of £37m in 2025, rising to £84m in 2027.

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North Northamptonshire Council, based at Corby Cube, is forecasting a deficit of £84m by 2027

WNC is projecting an increasing budget shortfall starting with a £42m deficit in 2025, rising to £80m over four years.

"It's always that irony that the government insists we do a balanced budget but they insist that we do it before they tell us how much money they're going to give us," said WNC leader Jonathan Nunn, according to the Local Democracy Reporting Service.

"We're seeing inflation of 10% or thereabouts, so there immediately is a gap if you add to that increasing demand. You're always going to have to do more with less."

WNC cabinet member for finance, Malcolm Longley, said the settlement was "not at the level" anticipated and the council was "disappointed" with the outcome.

The final budgets for the next financial year will be presented to both councils in February 2024.

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