Local Government Finance
The question
To ask the Secretary of State for Housing, Communities and Local Government, pursuant to the Answer of 17 June 2025 to Question 59314 on Local Government Finance, what the grant funding to local government is in cash terms in each financial year between 2024-25 and 2028-29.
Answered by Jim McMahon
The Local Government Finance Settlement (LGFS) for 2024-25 made available £64.7 billion for local government, a cash increase in core spending power of 7.5% compared with 2023-24. The LGFS for 2025-26 made available over £69 billion, a cash increase in core spending power of 6.8% compared with 2024-25. This year’s Spending Review provides over £5 billion of new grant funding over the next three years for local services that communities rely on. This includes £3.4 billion of new grant funding which will be delivered through the LGFS within financial years 2026-27 to 2028-29, an average overall cash increase in local authority core spending power of 4.5% per year. Further information will be made available as part of the provisional LGFS later this year, which will provide the first multi-year settlement for local government in a decade.
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