Council income, devolution complications, Manchester advice contract, joint services for London councils

by Colin Marrs
in 151 News
— 16 Jul, 2015

Income up, expenditure down for councils, says DCLG
Total local government income increased from £155.3bn in 2012-13 to £157.6bn in 2013-14, according to new figures from the Department for Communities and Local Government. According to the outturn figures, 58% of the total local government income received in 2013-14 was in the form of government grants. Council tax made up 15% of total local government income received during the year. Revenue expenditure is budgeted to be £95.4 bn in England in 2015-16, a decrease of 3.4% (£3.3 bn) from 2014-15.

Funding devolution hit by complications
It is too early to say whether City Deals will have an impact on economic growth, according to the National Audit Office. A report into the devolution programme found that deals requiring more innovative funding mechanisms took longer to implement than others. It said: “For example, Greater Manchester’s proposed ‘earn back’ deal required HM Treasury to calculate the extra tax revenues generated by local investment. The city and HM Treasury could not agree, however, how they would measure this in a way that would provide sufficient certainty and control over future funding levels.”

Capita bags AGMA treasury advice contract
Capita Treasury Solutions has been appointed as treasury advisor the Association of Greater Manchester Authorities and its associate local authorities. The contract, worth £240,000 over three years, was announced in the Official Journal of the European Union. It beat off two other bidders for the contract.

Councils launching joint audit and counter-fraud service
Three London councils have launched a market consultation with companies interested in providing services to a new shared audit and investigation service. The shared service will deliver audit, counter-fraud and investigative functions across the boroughs of Ealing, Hounslow and Brent from the start of 2016/17. The contract will have an estimated worth of up to £4.5m.