Angela Rayner blasted for 'cherry-picking' Labour-run councils for funding as rural areas are left 'worse off' due to Rachel Reeves' Budget

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Angela Rayner blasted for 'cherry-picking' Labour-run councils for funding as rural areas are left 'worse off' due to Rachel Reeves' Budget
Published: Dec, 18 2024 16:21

Labour was today accused of 'cherry-picking' urban and city councils for funding while rural areas are being left 'worse off' by Rachel Reeves' tax-hiking Budget. The County Councils Network (CCN), which represents 37 county and unitary authorities, delivered a withering verdict on a revised local government finance settlement.

 [In a written statement to Parliament, local government minister Jim McMahon revealed the  provisional local government finance settlement for 2025-26]
Image Credit: Mail Online [In a written statement to Parliament, local government minister Jim McMahon revealed the  provisional local government finance settlement for 2025-26]

The Ministry of Housing, Communities and Local Government, run by Deputy PM Angela Rayner, set out revised figures for how much councils will receive in 2025-26. Ministers boasted that £69billion of funding will be injected into councils' budgets across England next year to 'fix the foundations' of local government.

They said this was a real-terms increase of 3.5 per cent from 2024-25 with £2billion additional grant funding for next year - including a fresh £700million top up. The increase includes a £200million boost to the social care grant and a further £515million for the burden councils face due to the Chancellor's increase in employer national insurance contributions (NICs).

But the CCN claimed Labour was 'unfairly cherry picking which councils deserve the greatest financial support next year',. They hit out at the Government for heavily targeting a large chunk of its grant funding via a £600million 'recovert grant' towards city and town councils.

The majority of the 21 county councils in England are run by Conservatives, but metropolitan areas are more likely to have Labour-run councils in charge. The Ministry of Housing, Communities and Local Government, run by Deputy PM Angela Rayner, set out revised figures for how much councils will receive next year.

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