Spending cuts to impact local authorities

January 20th, 2015 Category: Local Authority & Housing

Cuts to public services in the UK is having a detrimental impact on local authorities, new research has shown.

The Austerity Uncovered report by the think tank the Centre for Local Economic Strategies (CLES) and the Trades Union Congress (TUC) revealed 11 out of 12 North East councils face a higher than average reduction in spending (3.9 per cent).
Furthermore, cuts to council services in deprived areas are also creating difficulties, with people losing their livelihoods and services stretched to breaking point.

The TUC said there needs to be urgent action to fund public services to increase equality. The north-east in particular is only half way through a nine-year spending cuts programme and by 2016 local authorities will have shouldered a 37 per cent cut.

Commenting on the findings, Centre for Local Economic Strategies chief executive Neil McInroy, said: “This report outlines the wide range of impacts on people and communities. The scale and depth of the austerity cuts are harming both our present and future.

“This research tells us that austerity affects all the country, though it bites deeper in poorer areas. It is a critical time for north-east local authorities. It has, and continues, to be disproportionately impacted by austerity. The reduction in spending power means the local social safety net is being eroded, with a drop in quality of care.”

In addition, the planned cuts will mean a reduction of £91.93 per household for the north-east, while the English average will be £71.58.

According to the Association of North East Councils, this could potentially mean that spending on waste management, cleaning, children’s services and adult social care, could fall by almost 50 per cent.

In fact service could be cut by around £49 million in 2012–13 across the north-east, with more expected through the next parliament.