London Needs Fair Settlement, Say Town Halls

By Russell, Vivienne | Public Finance, February 1, 2008 | Go to article overview

London Needs Fair Settlement, Say Town Halls


Russell, Vivienne, Public Finance


Londons councils are losing money to the provinces, its leaders claimed, as they demanded a fair funding settlement for the capital.

A cross-party coalition of more than 20 local authorities this week wrote to Prime Minister Gordon Brown highlighting how the latest local government finance settlement damages the ability of councils to provide good-quality services to London's communities.

A survey of political leaders and finance managers was unveiled at London's inaugural Finance Settlement Summit on January 31. It showed that 95% agreed that the settlement would have a negative impact on their council, with 89% agreeing that social services would face the greatest financial pressure.

Colin Barrow, deputy leader and Cabinet member for finance at Westminster City Council, said: 'The capital has the highest levels of unemployment, child poverty and housing overcrowding in the UK and needs more, not fewer, resources to address these issues. …

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