The Local Government Association (LGA) has voiced disappointment the government has not addressed funding issues for councils due to the forthcoming rise in the National Living Wage in the final local government settlement.
The settlement was announced last week, with local government secretary Robert Jenrick saying it delivers an increase in core spending power from £46.2bn in 2019/20 to £49.2bn in 2020/21.
The LGA welcomed the extra funding, but said local authorities face £220m of pressures due to the living wage rise.
LGA chairman James Jamieson, said: “Councils fully support the National Living Wage but this unforeseen new cost pressure needs to be funded to avoid the fragile care provider market being further destabilised.”
He also urged the government to publish the public health settlement as soon as possible “so councils can properly plan how to provide vital services which help people stay healthy, while reducing the strain on the NHS and social care”.
