From the Council Leader: Why I had to write to Theresa May

Date published: 14 February 2017


I have written to the Prime Minister following last week's Prime Minister's Questions where it was alleged that her government handed Conservative-controlled Surrey County Council a 'sweetheart' deal: a secret, favourable fix to prevent their threat to hold a politically unpopular Council Tax-raising referendum to fund adult social care.

I asked her to explain and publish any private 'memorandum of understanding' the Department for Communities and Local Government and Surrey County Council have agreed upon in this regard.

Whatever deal has been done, I asked that the residents of Rochdale are given the same favourable treatment as that offered to Surrey.

Similar to many councils in the North, services in Rochdale have been drastically cut following year-on-year reductions in our Revenue Support Grant and other government support.

Since 2010, the reduction in government assistance to Rochdale has been £239 for every single resident of the borough, while in East Surrey it has been just £24.

The level of government cuts has meant Rochdale Council has had to reduce its spending by £200 million over the past six years, which is half of our controllable budget. This has placed an intolerable strain on our essential services, not least the care of vulnerable people and the elderly which has suffered a £50 million cut because of the withdrawal of government funding.

Rochdale, one of the most deprived boroughs in the country, faces other problems caused by unfair government funding decisions. Last year, the government awarded transitional help to assist those council hit worst by government spending cutbacks. Rochdale, despite having received the 14th biggest government cut in the whole country, received nothing. Surrey received £12 million.

The Government also told councils to raise council tax by an extra 3% this year to partly alleviate the funding crisis facing adult care. Because of Rochdale's low council tax base, a 3% increase raises £2.8 million, which does not even cover the cost of the increase in the living wage for care staff, let alone the growing demands of caring for a growing elderly population. A 3% rise in Surrey raises £24.7 million.

While any additional funding is welcome, putting additional financial burdens on hard-pressed council taxpayers is not the answer. This is a national crisis and should by sorted by national government, not by passing the buck to local councils.

Although it is a matter for the government to determine the overall funding available to local councils, the least we should expect is that the money is distributed fairly and on the basis of need; and not the political colour of a council.

Decisive action by government is needed if Rochdale Borough Council is to have the funding it so desperately needs to provide a safe and decent level of care for our most vulnerable citizens.

Fair funding for Rochdale is also needed if this government and the Prime Minster are to maintain any semblance of fairness and credibility.

Councillor Richard Farnell
Leader
Rochdale Borough Council

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