Council funding cuts causing 'irreversible damage’

14 Jun 13
Cuts to local government funding are ‘fundamentally restructuring UK society for the worse’ and ministers must protect the role of councils, Unison has warned.

By Richard Johnstone | 15 June 2013

Cuts to local government funding are ‘fundamentally restructuring UK society for the worse’ and ministers must protect the role of councils, Unison has warned.

A report by the Centre for Local Economic Strategies, commissioned by Unison, found that the two years of cuts following the Comprehensive Spending Review in 2010 were having ‘unexpected, far-reaching and negative consequences’.

The report, published today, said the severe budgetary pressures faced by local authorities had forced them to fundamentally alter their services.  Decisions varied across the country, but many services had been either outsourced or cut considerably, according to CLES Consulting, which carried out the research. A lot of places would suffer 'irreversible damage’ as a result, the report said, with economic divides across the country becoming entrenched by the cuts.

Existing wealth divides were likely to be a ‘permanent feature in the future’ between areas, as cuts hit worse-off areas that have historically relied disproportionately on higher levels of funding.

Unison called on central government to do more to recognise the ‘leadership role’ played by councils to reverse this, and also called for action to address the impact of the 380,000 jobs lost in local government.

Among the steps the government could take is to make councils ‘the key driving force and co-ordinator’ of Local Enterprise Partnerships to boost growth, and to give town halls a key role in industrial strategies.

Unison’s head of local government, Heather Wakefield, said this would ‘free’ councils and give them power to act as a hub to connect local businesses, people and private and social stakeholders.  

‘The scale of the cuts means that expertise, local networks and services that have been built up over many years are being eroded and much of the damage will be irreversible, without urgent action,’ she said.

‘The deep cuts imposed on local government will have counterproductive effects, making it harder to serve the local population and create resilient local economies. It’s time the government recognised the value of investing in local services and the economy as a way to pull this country out of the economic mire.’

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