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Dan Bates: what to expect from the final settlement

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The final local government finance settlement offers the government a chance to demonstrate it understands the financial resilience risks facing the sector. Will it be taken? Dan Bates, Room151’s head of research, investigates.

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With just a week remaining until the final local government finance settlement, a degree of uncertainty still surrounds the allocation of local authority funding.

Plans to hand mayors a portion of income tax revenues risk funding for richer areas pulling ahead by billions of pounds a year unless carefully designed safeguards are built in, the Institute for Fiscal Studies has warned.

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