Leader welcomes Cornwall’s voice being heard in Budget

The leader of Cornwall Council has welcomed the budget, but says the fine details need to be understood and the funding allocations for Cornwall determined before its impact on the authority’s finances can be fully considered.

Cllr Linda Taylor also welcomed the news that the Government is taking action on several key issues she and MPs have raised since the General Election, saying it shows how Cornwall’s voice is being heard in Westminster.

Among the headlines from yesterday’s budget, revealed by the Chancellor, Rachel Reeves MP, in Parliament, were:

·     £1.3 billion new grant funding for local authority services in 2025/26, including at least £600m in new grant funding for social care

·     £233m additional spending in 2025/26 to prevent homelessness

·     A 3.2% increase in Core Spending Power for local authorities in 2025/26

·     A pledge to continue the Shared Prosperity Fund at a reduced level for a transition year by providing £900 million for local authorities to invest in local growth in 2025/26, in advance of wider funding reforms.

·     An additional £500m in capital funding for local roads maintenance

·     Extension of the 100% business rates retention for Cornwall Council for 2025/26

Cllr Taylor said: “From the first hearing, I am pleased to see Cornwall’s voice has been heard in respect of our call for an extension to the Shared Prosperity Fund, likewise the announcement of more funding for local government, but we need to see the fine details to understand exactly what impact it may have in Cornwall.

“What has been pleasing though is to see some of the bigger issues that really matter to us being addressed in today’s budget.

“Since the election, I have written several letters to Westminster outlining areas where we wanted to see action taken. I wrote to the Department of Education regarding SEND pressures and the need to ease the financial pressures on the production of Education, Health and Care Plans (EHCPs), and was pleased to hear the announcement of significant extra funding in that area.

“I also wrote to the Ministry of Housing, Communities & Local Government requesting a continuation of the Government’s Rough Sleeping Initiative funding, so to see £233 million of additional spending in 2025-26 on tackling homelessness is pleasing. It will help to prevent increases in the number of families in temporary accommodation and help to prevent rough sleeping.

“Another letter, directly to the Chancellor, called for a fairer funding for Cornwall. So the Chancellor’s commitment to reforming the approach to funding allocations within the Local Government Finance Settlement by redistributing funding to ensure that it reflects an up-to-date assessment of need and local revenues, is particularly welcomed.

“These are issues that matter greatly to myself and my fellow councillors, and I believe to the people of Cornwall, so to see our voice being heard and action being taken is pleasing.

“We will need to go through the detail of the budget now to understand exactly how it will affect us and how much of the additional funding will come Cornwall’s way.

“However, one thing is clear, the Autumn Statement doesn’t fully resolve all the challenges faced by local authorities across the country. Like many others, Cornwall Council will still have some very difficult decisions to make in order to balance the books for next year.”

Posted 31 October 2024

ENDS

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