£60 billion cash package for councils in England

Michael Gove, the Levelling Up Secretary, confirmed today (19 December 2022) a nearly £60 billion package for councils in England for the next fiscal year to ensure that councils can continue to provide important frontline services.

The settlement means that councils throughout England will receive an additional £5 billion - a 9% increase over last year's settlement - as the government continues to support councils and public services in the face of financial pressures.

The deal for next year includes a one-time Funding Guarantee that ensures every council in England will see at least a 3% boost in core spending power before any local council tax decisions are made. In addition, the government today confirmed a new £100 million scheme for councils to safeguard the most vulnerable households from council tax hikes, fulfilling a campaign commitment to protect local taxpayers from excessive increases.

Social care is also being prioritized, with the government investing £2 billion in additional grant funding for adult and children's social care in 2023/24. There is also £300 million for NHS England to help expand capacity by easing patient discharge.

After listening to councils, the government has provided greater clarity up to 2024/25, defining funding over the next two years, allowing town halls to plan forward with confidence.