Local government cuts in numbers

We’ve taken a look at how spending cuts are affecting areas across the country, as well as in Derby:

  • Since austerity began in 2010, Derby City Council has been forced to cut £96m from its budget, with another £69m of savings to be found by 2018.
  • If unfunded new burdens for 2015/16 are taken into account, then the cut is closer to 10% in cash terms.
  • Studies by SIGOMA, the Joseph Rowntree Foundation and the Audit Commission have repeatedly shown that authorities in the poorest areas have faced the biggest cuts.
  • The Government have argued that these authorities have higher spending power; however this fails to take account of the fact that they also have the greatest demand for council services.
  • Policies like the New Homes Bonus and the Council Tax Freeze Grant further exaggerate the unequal distribution of Government funding.
  • The government’s Council Tax Freeze is worked out based on the Council Tax Base – how much we raise through tax – and not on need. The inequality could be compounded in future if the grant is withdrawn as more deprived authorities will tend to have a larger gap to make up.

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