Financial sustainability of local authorities

Financial sustainability of local authorities This report finds that after seven years of government funding reductions totalling nearly 50 per cent and rising demand for services, local authorities are under real strain. Key services that support vulnerable people, such as social care and housing, are now under enormous pressure. The harsh reality is that more and more local authorities are now showing signs of financial stress such as overspending on services. They now face a period of greater uncertainty as their funding framework beyond 2019–20 is unclear. The report notes that recent announcement about additional money for the NHS did not include anything for social care. Given that social care is the other half of the equation, it is vital that there is a long-term solution. Public Accounts Committee