Source · Select Committees · Public Accounts Committee
Recommendation 15
15
We questioned how local authorities access funding to help achieve net zero.
Conclusion
We questioned how local authorities access funding to help achieve net zero. The Local Government Association highlighted to us the core issues of uncertainty, spending power and fragmentation in relation to challenges facing council finances.55 The Department considers that the current system run at a national level can ensure that areas that really need support, for example to address poor social housing stock, can get it.56 However, in 2021 the NAO found that a fragmented funding landscape dominated by competitive funds brings the risk that money does not go to where the need or opportunity is greatest, and it can make it difficult for local authorities to plan for the long term.57 The Department accepts that there are alternative methods, including devolving funding to local authorities, but rejects that this approach is inherently better. The Strategy suggests that longer term, co-ordinated funding can enhance innovation and investment, reduce bureaucracy, and encourage efficient and integrated decision making. The Department told us it is committed to making funding to local authorities simpler.58
Government Response
Not Addressed
HM Government
Not Addressed
4.1 The government agrees with the Committee’s recommendation. Target implementation date: Summer 2022 4.2 In the Net Zero Strategy, the government has already set out how it will work with local government on the issues the Committee have raised. 4.3 The department will do this by creating a Local Net Zero Forum where the department will discuss local net zero issues with local government as it is critical that local government are involved in discussions about their role in net zero. 4.4 The department is in the process of setting the Local Net Zero Forum up and it will have its first meeting by summer 2022. 4.5 The commitment in the Net Zero Strategy is that the government will explore simplifying and consolidating funds which target net zero initiatives at the local level, where this is the most effective approach to making progress on net zero. This is one of the issues the government will discuss in the Forum.