Stoke-on-Trent’s council leader has opened talks with the Government about the authority’s financial position and is urging the government to support councils in its Autumn budget statement this month.
The city council is one of a number of local authorities around the UK facing serious legacy funding issues created by years of austerity cuts and what it says is failure to act soon enough to head off problems.
It has presented its strategy to address pressing and serious financial shortfalls in an online call with local government minister Lee Rowley and civil servants, which was also attended by Stoke-on-Trent Central MP Jo Gideon and Stoke-on-Trent North MP Jonathan Gullis.
City Council Leader Jane Ashworth explained that when the Labour administration took office after May’s election it inherited a £20million budget shortfall in children’s services, and has since reduced an overall budget deficit this year down to £8.5million.
The new administration is working to address the children’s services issues through immediate improvement in early help, investment in local homes for children in care and by building a new facility to look after children with severe disabilities in the city.
More widely the council told the minister and his team it had completed a review of all spending, from huge projects down to “paper clips and pencils”, and that controlled spending will help the council to balance the books.
But the Labour administration also found out that if demand for social care services continues to remain at record high levels, and if inflation and the cost of care remains high, it faces a potential forecast budget deficit of £19.5million next year on children’s services alone.
Cllr Ashworth said: “We had a grown-up meeting with the minister and his team to discuss the way forward. We’re not the only local authority to be having that conversation because of the effects of austerity.
“We went to the minister with our plan and will be providing more information as he puts together the settlement for local government.
“The chancellor’s Autumn statement is due on 22nd November, and we would like to see a reflection of the difficulties local authorities like Stoke-on-Trent are facing. We had tens of millions cut from our budget over the last 12 years and the previous administration has not moved sufficiently, as other councils have, to address the children’s services funding issue.
“Specifically, we are urging the government to allocate significantly more funding for children’s services, to recognise that Stoke-on-Trent has significant needs and deserves specific additional support and to provide more sustainable funding settlements for local authorities which spread over a number of years.”
Stoke-on-Trent Central MP Jo Gideon said she backed the council’s case.
She said: “Stoke-on-Trent City council has faced significant financial challenges due to the increasing costs of children’s services in the city, and I have consistently advocated for prioritising children’s welfare.
“I remain steadfast in my commitment to supporting the council in their efforts to address this financial situation and seek solutions for better outcomes for our young people.”
