Buckinghamshire Council: Funding

The Government are changing the way we fund local authorities, reconnecting funding with deprivation after 14 years of Tory Governments cutting councils in the poorest places. The vast majority of upper-tier councils will see their income increase in real terms over the next three years. For 2025-26, the local government finance settlement made available up to £577 million for Buckinghamshire council—a 5.7% cash-terms increase in core spending power on the year before.

That is a curious answer, because modelling by the County Councils Network indicates that, assuming there is a punishing 5% annual council tax increase, core spending for Buckinghamshire council will go up by only a below-inflation 2.2%—a real-terms cut. What assurance can the Minister give Buckinghamshire council that it will not find itself with a real-terms cut in spending power as it delivers essential services to my constituents?

As I said in an earlier answer, we made a policy statement on the fair funding review consultation last week. In addition, as I have said, the vast majority of upper-tier councils will see their incomes increase in real terms over the next three years. More details will come as we finalise funding arrangements. The Department will work closely with Buckinghamshire and all other councils to ensure that their finances are stabilised after 14 rocky years.

I call Callum Anderson, a Buckinghamshire MP.

Multi-year funding settlements can help councils such as Buckinghamshire to prepare for the future and ensure the continuity of local services, but that approach was not necessarily applied by the last Conservative Government. In the north Buckinghamshire towns and villages that I represent, there is particular pressure on the economic and social infrastructure that meets rural requirements. Will the Minister set out in a bit more detail how the fair funding review will take all that into account so that residents in my community have the services they need?

I know how important it is for my hon. Friend to champion those towns and villages. He is right to say that the three-year funding settlement for councils will help, including with forward planning. Where we are considering cost pressures—those in adult social care, for example—it will help us to change the way in which services are delivered so that we can support people and ensure that councils across the country, such as Buckinghamshire, have more stable finances in the future.