Source · Select Committees · Public Accounts Committee
Recommendation 20
20
Accepted
Department defers providing certainty on future multi-year local road funding to HM Treasury.
Conclusion
We asked the Department when it will provide certainty over the number of years and amount of funding local authorities will receive. The Department told us that it would be a decision for HM Treasury and the Government during the next phase of the spending review to decide what time period funding would cover, and not the Department’s decision. 37
Government Response Summary
The government agrees with the committee's implicit recommendation for funding certainty and intends to move to multi-year funding settlements for local government. They also plan to consolidate local highways maintenance funding streams into a single line to provide greater certainty and flexibility.
Government Response
Accepted
HM Government
Accepted
3.1 The government agrees with the Committee’s recommendation. Target implementation date: Summer 2025 3.2 Long term certainty is determined by the length of the settlement set out by a Spending Review. 3.3 The government is resetting the relationship with local government. The government intends to move to multi-year funding settlements in future, to provide long-term funding certainty for local government. The government has also set out plans to radically simplify the funding paid out to the sector – consolidating grants into the settlement wherever possible. This will give local authorities greater certainty and freedom to deliver their priorities. 3.4 The department also intends to consolidate local highways maintenance funding streams for those authorities who receive them, so that they receive one funding line only. In addition, those authorities in receipt of City Region Sustainable Transport Settlements (CRSTS) have their highway maintenance funding consolidated, further reducing the number of funding streams and providing greater flexibility in how mayoral combined authorities allocate funding.