Pickles writes to council leaders following CSR
Wed 20 October 2010, 6:07 pm
Secretary of State for Communities and Local Government Eric Pickles has written to council leaders setting out the implications of today's Comprehensive Spending Review.
The main points include a 7.25% average annual reduction in government funding (a fall of 26% in real terms between 2010-11 and 2014-15 – excluding schools, fire and police).
Read the letter in full here.
The letter says the Spending review also:
- tackles the principal pressure on social services by providing an additional £2 billion to support adult social care by 2014-15;
- commits £6.5 billion to affordable housing and Decent Homes over four years;
- offers help to the vulnerable with £6.5 billion to Supporting People over the Spending Review period;
- offers more flexibility to councils by ending ring-fencing of all revenue grants from next year, except for simplified school grants and the new public health grant which will be introduced in 2013. In total, local authorities will have greater control over more than £7 billion of funding from 2011-12 which is moving into formula grant, being unringfenced or is new funding for the SR10 period;
- protects council tax payers by offering, in partnership with local authorities, a council tax freeze;
- shifts many other budgets – including budgets for GPs and Police and Crime Commissioners – to the local level, so that you can pool and prioritise this money more effectively;
- sets out plans to implement the first phase of Community Budgets in 16 areas from April 2011, by pooling departmental budgets at source for 16 places, to tackle families with complex needs, with the intention that all areas will be able to take this approach from 2013; and,
- radically reforms the Housing Revenue Account, so that you will have much greater ability to run your own affairs, provides over £2 billion on Decent Homes in total over four years and enables councils who own housing to improve the decency of tenants’ homes with enough money to more than halve the backlog by 2015.