Local Government Finance: Lincolnshire
The question
To ask the Secretary of State for Housing, Communities and Local Government, what estimate she has made of the funding gap for district councils in Lincolnshire in the next two years.
Answered by Jim McMahon
The provisional Settlement for 2025-26 makes available £69 billion for local government, which is a 3.5% real terms increase in councils’ Core Spending Power on 2024-25. The final Settlement will increase further, to incorporate the £515 million of funding announced for National Insurance Contributions.
The Department works closely with local government and other government departments to understand specific demand and cost pressures facing local government on an ongoing basis. This involves looking at a range of cost and demand data, as well as regular engagement with local authorities.
Future funding for local government and the timings of the Local Government Finance Settlement are bound by the spending review cycle. The government has committed to a multi-year Spending Review in Spring 2025. We are committed to delivering the first multi-year Settlement in 10 years in 2026-27, which will distribute funding based on an updated assessment of need. We are fully consulting with the sector on our funding reform proposals.
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