The government also said it would consider requests "on a case by case basis" from cash-strapped councils which wanted to balance their books by raising council tax above the current threshold of 5% for upper-tier authorities and 3% for districts.
Up to now, only councils that have declared formal effective bankruptcy such as Croydon and Thurrock have been allowed to charge council tax above cap levels. Last year a request by Medway and Somerset councils to charge 10% was refused.
A new £600m "recovery" grant will be targeted at England's most deprived towns and cities - mainly in the north and Midlands - alongside longer-term "fair funding" plans intended to rebalance council funding away from the more affluent south-east.
The shake-up, announced yesterday, was billed as an attempt to "fix the foundations" of local government and make funding more effective by ensuring councils with high needs in adult social care and child protection get a fairer share of funds.
This story is from the November 29, 2024 edition of The Guardian.
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This story is from the November 29, 2024 edition of The Guardian.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
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