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Select committee: Housing, Communities and Local Government Committee

Local authority financial sustainability and the Section 114 regime: Government response to the Select Committee report

Published 21 October 2021

Housing, Communities and Local Government Committee Local Authority Financial Sustainability and the Section 114 Regime Report on parliament.uk ↗

At a glance

The government's response

This document responds to Second Report - Local authority financial sustainability and the section 114 regime.

This is the government's response, published 21 October 2021.

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government welcomes the Committee's report and responds recommendation by recommendation, agreeing on some audit and funding-stability points while setting out its existing approach on council tax, business rates and the section 114 regime.

  • On social care, it points to its 7 September 2021 announcement of an additional £5.4 billion over 3 years and says it will publish further detail in a White Paper "later this year".
  • On council tax, it states it "has no plans to replace or fundamentally reform council tax", saying a revaluation "would be expensive to undertake" and could raise bills for many households.
  • On multi-year settlements, it "agrees that a stable funding environment ensures local authorities can plan effectively"; the approach to the next settlement "will be informed by the ongoing Spending Review".
  • On local audit, it considers PSAA "best placed" as appointing body and will keep arrangements "under review". It agrees the new system leader should be able to join up auditor findings.

Read the government's response ↗ Report an error

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