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Press Release

LGA responds to the Autumn Statement

29 November 2011

Commenting in response to the Autumn Statement, Sir Merrick Cockell, Chairman of the Local Government Association, said:

"In the current spending review period councils have had their funding cut by 28 per cent, against an average cut across Whitehall of 8.3 per cent. As the most trusted and efficient part of the public sector, councils have borne the brunt of the cuts in a disciplined manner balancing the needs of the economy against maintaining vital local services.

"While the announcement of some extra capital investment in schools and local transport will be welcomed, the prospect of further reductions in funding for councils, running into hundreds of millions of pounds from 2013, risks adversely impacting those vital local services people rely on every day at a time when many communities are already feeling the strain."

Notes:

Outlining the Autumn statement the Chancellor said: "Departmental budgets will be adjusted in line with the pay rises I have announced, with the exception of the NHS and the school budgets – where the money saved will be retained in order to protect those budgets in real terms."

Councils have already had real terms reductions of 28 per cent over the four spending review years (11-12,12-13,13-14,14-15).

This compares with overall cuts of 8.3 per cent across all Whitehall departmental budgets.



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