Recent weeks have highlighted the challenges in local government finance and the strain on principal authorities, from increasing expenditure on children’s services and adult social care to inadequate funding from the central government. Jonathan Carr-West, the chief executive of the Local Government Information Unit, briefed our Management Board on 26 March 2024 on their recent report, The State of Local Government Finance 2024. Worryingly, 14 upper-tier councils warn of possible bankruptcy next year and 74 within five years. During the briefing, the town clerk of Shrewsbury Town Council highlighted the impact of reduced finance for discretionary services on local (parish and town) councils and community resilience. While our sector has taken on numerous discretionary services in recent years, not all councils are in positions to assume these responsibilities without help, and the associated increase in precept levels is often difficult to sell to the public. The Board stressed that we are all part of the same local government ecosystem, and local government at all tiers and its national bodies must work together to address this rapidly developing problem. Discussions also included rescheduling our parliamentary reception and Star Councils Awards to February 2025, anticipating the General Election could take place this Autumn. The Board also agreed that our head of member services, Charlotte Eisenhart, would be our representative for Smaller Authorities’ Audit Appointments.

NALC in parliament 

The House of Lords debated local government finances on 21 March 2024, including an excellent speech by NALC’s president, Baroness Scott of Needham Market, to ensure “the sector is not lost” in this important debate. Her contribution included an overview of the sector, its funding and recent trends, which she attributed to the growing role of local councils, including taking on more responsibilities from principal authorities. In her conclusion, she called on the government to increase the current local audit thresholds and ensure local councils have flexible and diverse funding as per NALC’s manifesto. You can read more in my thread on Twitter/X, which also highlights supportive comments from Baroness Bennett of Manor Castle, one of NALC’s vice presidents, on Hansard, or watch again on parliamentlive.tv. NALC’s chair, Keith Stevens, was also in Parliament last week to brief Anne-Marie Morris MP, a member of the Treasury Select Committee, on NALC’s banking campaign. This followed her recent criticism of the delay in setting up banking hubs and access to banking services. Keith also updated Anne-Marie on his open letter and wider issues such as funding, standards and remote meetings.

Community Ownership Fund and new Community Green Spaces Fund

The fourth and final round of the government’s £150 million Community Ownership Fund opened for applications on 25 March. The fund, which was opened last year to allow applications from local councils as a result of NALC’s lobbying, aims to support communities to take ownership of assets at risk of being lost and those already in community ownership but in need of essential renovations to be sustainable for the long-term benefit of the community. Local councils can bid for up to £2 million in capital funding and £50,000 in revenue to help protect local assets such as sports facilities, arts and music venues, museums and galleries, parks, pubs, post offices, and shops. The first window of the fourth round is open until 10 April, with the second window due to open in late May. More information, including how to apply to the fund, is on our website. I was pleased to see the government announce a new £7 million Community Green Spaces Fund plus an additional £5 million to support capital improvement projects in village halls. The Community Green Spaces Fund will provide funding to support communities in creating, restoring, and enhancing their green spaces. While further details are still to be announced, we expect local councils to be eligible to apply. Rest assured, we will lobby hard to ensure this is the case!

Recent NALC consultation responses: permitted development rights and high streets 

It’s been a busy period for responding to government consultations, which last week saw us make three submissions on land data, brownfield development and Martyn’s Law, followed by two more this week. In our response to the government’s changes to various permitted development rights consultation, we’ve opposed further erosion of the democratic planning system by voicing concerns about the push to extend permitted development rights (PDRs). We argued that, in principle, we are against the unfettered extension of PDRs. Still, we do not oppose those PDRs that will help combat climate change, such as making it easier to set up electric vehicle charging points and ground-source heat pumps. In our response to the House of Lords Built Environment Committee’s inquiry into high streets in towns and small cities, we provided examples of the work local councils are doing to support high streets and called for them to be given a greater role in the redevelopment, aesthetics and conservation of high streets, with direct access to funding programmes and more powers through the extension of the general power of competence to all local councils.

National Network: Young councillors 

Our national network for young councillors met on 19 March 2024, focusing on the challenges faced by young councillors, the significance of annual parish meetings, and discussions surrounding councillor allowances. Cllr Cameron Palin, winner of our Star Council Awards 2024 Young Councillor winner, was our guest speaker, sharing his journey into politics and highlighting the importance of local activism in driving meaningful change. He addressed the hurdles young councillors encounter in gaining credibility and advocated for a more inclusive approach to governance. The network also debated the effectiveness of annual council meetings in engaging the public and young people, emphasising networking opportunities and the value of recognising council achievements. Additionally, discussions surrounding councillor allowances explored their potential impact on participation, concluding with support for a survey to gain further data and insights. The network will next meet on 4 June 2024. You can learn more about the network, how to join, and our work about young people on our website.

On the blog: GoCollaborate 

This week’s blog from NALC’s partner, GoCollaborate, highlights the crucial role of neighbourhood development plans (NDPs) in shaping local communities and emphasises the need for proactive community support, especially in anticipation of potential changes in government. Neil Kirkland and Katherina Sukstul stress the significance of early and inclusive consultation to strengthen NDPs amidst political transitions. They outline the potential impacts of general elections on NDP efforts, including changes in government policy, influence on local planning authorities, and shifts in community engagement. The blog advises communities to focus on building strong plans, maintaining positive relationships with local authorities, staying informed, and starting early to mitigate disruptions caused by political changes.

Out and about 

The Hampshire Association of Local Councils held its annual conference with the theme of Partnership in Action on 20 March 2024, with around sixty delegates and an impressive array of exhibitors. I updated colleagues on our work, including the civility and respect project. It was good to meet up with NALC’s Star Council Awards 2023 Clerk of the Year winner, Andrea Mann from Odiham Parish Council, who highlighted how the Local Council Award Scheme had helped her council’s journey to promote civility and respect. The keynote speaker was Cllr Rob Humby, leader of Hampshire County Council, who stressed the pressures facing local government finance and challenging demands of rising demand and cost. He also thanked local councils and the county association for their work and stressed that partnerships and devolution were crucial to addressing local government problems.

Rural Insight Forum  

At this month’s Rural Insight Forum (RIF), we were briefed by government officials on the latest rural proofing report, setting out measures the government had taken to support rural communities and address their specific needs and challenges. It was good to see that local councils have access to the Community Ownership Fund, which they have accessed to support rural communities.  We were also briefed on plans to issue discretionary guidance on delivering community benefits for transmission network infrastructure in June, and we will continue to press for local councils to play a key role. I also highlighted the latest council tax statistics and how the current crisis in local government finance was likely to have a detrimental impact on rural communities.

Latest NALC and LGA Corporate Peer Challenge 

Our legal services manager, Jane Moore, was with Taunton Town Council in Somerset last week between 18 and 20 March 2024 as part of the council’s Corporate Peer Challenge. This is delivered jointly with the Local Government Association (LGA) and is an improvement and assurance tool aimed at larger councils that is delivered by the sector for the sector. As well as Jane and colleagues from the LGA, the panel of peers also included Cllr Mike Drew, our former vice chair and the Avon Local Councils Association representative on our National Assembly, and Andrew Tubb, chief executive of Cirencester Town Council, which had a peer challenge in 2022. Over the 3 days, the panel talked to councillors, staff and stakeholders, culminating in a feedback report to the town council comprising a series of observations, suggestions and recommendations.

Council tax levels for 2024/25 

The Department for Levelling Up, Housing and Communities (DLUHC) has published information on council tax levels set by councils in England for the financial year 2024/25. The average Band D precept charged by local precepting bodies (including local councils) for 2024/25 will be £85.88, an increase of £6.74 or 8.5% on 2023/24. Total precepts in 2024/25 are £783 million, £75 million higher than last year and just 1.9% of overall council tax.

Meeting with The Woodland Trust 

On 22 March 2024, policy and communications team colleagues met with The Woodland Trust to explore collaboration on climate emergency initiatives. Many of you may remember our previous work with The Woodland Trust to embed the ten principles of the Charter for Trees, Woods, and People within communities across the UK. You can learn more about our climate change work and the Tree Charter project on our website. Highlights from our discussions included how to get more local councils to plant more trees and sign up for their FREE tree planting packs (applications are open now, and successful applications will receive their tree in November 2024) and using their Tree Equity Score, a map-based application designed to help address disparities in urban tree distribution by providing a single measure ranging from 0 to 100. Additionally, the new Trees and Woods at the Heart of Nature Recovery report sets out actions needed to restore woods and trees across the UK for wildlife and communities, revealing that only 7% of UK woods are in good condition for wildlife! Both organisations are committed to continuing to work together and have agreed to meet regularly to progress these discussions and ideas, so watch this space!

And finally… 

Staying on the climate change theme, we’ve welcomed The Carbon Literacy Project’s new toolkit for local councils. This helpful resource equips councillors and officers to lead by example, cascade environmentally sustainable and socially responsible values, and engage residents in practical and transformative action. A panel of councils has reviewed and piloted it to help understand and promote Carbon Literacy. The Carbon Literacy Project enables the delivery of a day’s worth of practical and relevant climate action training that maximises the learners’ ability and motivation to contribute to tackling the climate crisis. Over 85,000 learners from over 6,000 organisations have certified Carbon Literate learners across all seven continents! You can find out more about our climate change work on our website.