In a critical move to address the financial challenges faced by local councils, Councillor David Harris, Deputy Leader of Cornwall Council, has directed an open letter to Michael Gove MP, the Secretary of State for Levelling Up, Housing and Communities. This urgent plea highlights the dire situation of local governments following the provisional Local Government Settlement, a key document that sets out central government’s funding allocation for local authorities.
Councillor Harris, serving as the Portfolio Holder for Resources since the Conservative Group assumed majority in 2021, expressed his deep concerns over the financial predicament of councils, including Cornwall. He warns of a looming ‘financial abyss’, indicating that even efficiently managed councils are on the brink of collapse without additional support. “Despite stringent financial management, we are grappling with challenges beyond our control,” Harris stated, emphasising the gravity of the situation.
One of the critical areas demanding immediate intervention is children’s services. The Deputy Leader shed light on the ‘broken’ provider market, leading to skyrocketing costs for placing children in need of care. Harris asserts the necessity of not just an immediate financial solution but also a long-term strategy to reform this sector.
In addition to these challenges, Harris pointed out the delays in external audits of council finances, attributing these issues to “years of chronic underfunding” rooted in an outdated funding formula. His letter to the government underscores the need for a comprehensive review and reallocation of resources to prevent the impending financial crisis in local governance.
As councils like Cornwall face these unprecedented financial challenges, the response from the central government remains to be seen. The Deputy Leader’s candid appeal for support underlines the urgency of the situation, calling for immediate and effective measures to safeguard the future of local authorities.