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Deloitte comment on Local Government Finance Settlement for 2013/14

19 December 2012

Commenting on the Local Government Finance Settlement for 2013/14, Phil Holt, local government advisory partner at Deloitte, the professional services firm, said:

“The latest Local Government Finance Settlement will add to the great pressures already facing local authorities up and down the country.

“A range of efficiencies, savings and cuts have been already been made by most authorities, but they are still faced with some of the greatest challenges in living memory – how to implement further spending reductions while maintaining a basic level of local services. Some councils will struggle to maintain their statutory responsibilities whilst others will simply see the level of service provision drop significantly.

“Joining up and sharing services with other local public agencies could make the process slightly less painful and more efficient. Figureheads such as elected mayors, in theory, have the power to pull differing services together.

“Either way, even with the introduction of business rate retention and new homes bonus, councils will find the settlement hinders their ability to proactively invest in local economies and local communities in the short term.”

Ends

About Deloitte
Deloitte LLP is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee, whose member firms are legally separate and independent entities. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms.

The information contained in this press release is correct at the time of going to press.

Member of Deloitte Touche Tohmatsu Limited.

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