The City of York Council is urging for fairer funding from the government

 The City of York Council is urging for fairer funding from the government, highlighting a substantial loss in funding since 2010 when adjusted for inflation. According to calculations using the Bank of England’s inflation calculator, the council's revenue budget of £118 million in 2010 would equate to approximately £173.5 million today to maintain the same level of services. However, the council's budget for the upcoming financial year stands at just £150 million, marking a considerable shortfall.

This decrease in funding is attributed to various factors including cuts in government grants and business rate retention, resulting in a drop of approximately 10% in spending power for local authorities across the country since the introduction of austerity measures in 2010 by the coalition government.

Cllr Katie Lomas, the executive member for finance, criticized the decisions of past governments, stating that the funding cuts have significantly constrained the council's ability to provide essential services to the community. Despite facing challenges, the council remains committed to delivering a balanced budget.

Henri Murison, the chief executive at the Northern Powerhouse Partnership, echoed concerns about the increasing reliance on council tax to fund services, emphasizing the need for fairer funding mechanisms. He praised the City of York Council for advocating for fairer funding and emphasized the importance of sustainable funding for local authorities.

In response, a spokesperson from the Department for Levelling Up, Housing and Communities highlighted the government's recent announcement of an additional £600 million support package for councils across England. However, they emphasized that councils are responsible for their own finances and set council tax levels, albeit with consideration for cost-of-living pressures.

Despite the government's reassurances, concerns persist regarding the sustainability of funding for local services. The City of York Council continues to advocate for fairer funding to ensure the delivery of essential services to the community.