Government’s plan for fairer council funding will be a 'turning point' for the region - West Midlands mayor

West Midlands Mayor Richard Parker said the Government’s plan for fairer council funding will be a “turning point” for the region.

By Local Democracy Reporter Gurdip Thandi
Published

Jim McMahon, minister of state for local government, announced a major reform of how local authorities are funded and branded the current model as “broken and unfair”.

And Mr Parker said this would be a “turning point” for the West Midlands and would enable councils to rebuild local services.

The Government said it will now adopt formulas which would target money to places where there was the most need, based on pressures and local need.

It also said it will introduce multi-year settlements in a bid to drive council efficiency and scrap processes where local authorities have to bid for small pots of money.

Nw council tax rules will also see councils having to offer payment plans to people falling behind on bills.

Mr Parker said: “This is the moment we stop managing decline and start rebuilding local services that people rely on.

“It’s no more sticking plasters. We’re fixing the system so that councils in the West Midlands can plan, invest and deliver.

“This is a government that gets it. For too long, Conservative ministers turned a blind eye while the gap between need and funding grew wider, and the burden was placed on local residents.

“But we’re turning that page and finally delivering fairness for our region.”

He added: “It’s a common-sense change but it makes a massive difference to lots of people in this region.

“If someone misses a payment, they shouldn’t be pushed into debt. They need help, not hassle. And councils need the powers and funding to support people, not punish them.

“That’s what this reform is about – giving power back to councils and hope back to communities.”

Mr McMahon OBE said: “We inherited a local government sector on its knees— councils pushed to the financial brink, facing rising demand, and working people not receiving the quality local services they rightly deserve.

“There’s broad agreement across council leaders, experts, and parliamentarians that the current funding model is broken and unfair.

“This government is stepping up to deliver the fairer system promised in the 2017 Fair Funding Review but never delivered.

“These reforms are urgently needed to put councils on a stable footing and ensure better services for residents — especially working people — right across the country.

“It’s a key part of our Plan for Change to deliver the outcomes people deserve.”