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Covid funding for region's councils tops £270 million

Local authorities across the Black Country and Staffordshire have received nearly £270 million in extra funding during the pandemic, new figures show.

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Dudley Council has received more than £40 million in extra funding since the start of the pandemic

Ministers have allocated more than £8 billion nationally to help councils fight the pandemic, including emergency funding to support rapid testing, outbreak management and vulnerable residents.

Figures from the Ministry of Housing, Communities and Local (MHCLG) show Staffordshire Council has received £89.35m since last March, while Sandwell Council has been given £51.57m.

Wolverhampton Council received £43.51m, Dudley Council got £43.28m and Walsall Council has had 41.5m.

Across the West Midlands councils have received more than £462m in new funding, according to the figures, with Birmingham Council receiving the largest amount of support at £193.23m.

It comes amid dire warnings of the impact of the pandemic on public finances, with at least 12 local authorities across the country said to be in crisis talks with the Government.

Marco Longhi, the Conservative MP for Dudley North, said local councils had done an "incredible job" in providing services and "keeping people safe" during the pandemic.

He said the Government was right to have recognised the "additional financial pressures" they had faced and provided extra support.

"I am confident this will continue," he added.

According to reports 12 local councils have entered talks with the MHCLG regarding the possibility of 'section 114' bankruptcy notices being issued.

Rob Whiteman, chief executive of the Chartered Institute of Public Finance and Accountancy, suggested more would follow, saying: “I think 12 probably is the tip of the iceberg.”

Many authorities say they have been forced to increase council tax by nearly five per cent this year in a bid to bolster finances, with the rising cost of adult social care remaining a key concern.

They include Sandwell Council, although the authority is the only one in the region to run a scheme giving people on low incomes a 100 per cent reduction.

Councillor Louise Miles said council tax would rise in Wolverhampton to protect vital services, while Dudley Council said its increase would come after a year which has brought "unprecedented challenges to our public services".

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