Extra funding for Havering Council has been confirmed by Communities Secretary, Michael Gove, after Hornchurch & Upminster MP, Julia Lopez, led a delegation from the borough to see government ministers on the council’s finances.
Mrs Lopez arranged for Havering’s Council Leader, Cllr Ray Morgon, and senior Council officers to meet Local Government Finance Minister, Lee Rowley MP, in Westminster in December where the authority’s financial challenges were set out. Havering has been struggling in particular with additional costs in adult and children’s social care services since the pandemic as demographic pressures - the borough has the highest population of over-65s in London alongside a fast growing child population – make the Council’s position more challenging.
This week, Mr Gove set out a new one-off Funding Guarantee which ensures all local authorities will see a minimum 3% increase in their Core Spending Power, before they take any decisions on raising council tax. Additional funding of £100m to support the most vulnerable households within local authority areas has also been provided, alongside £2 billion additional grant funding for social care. London boroughs overall will receive a £740m increase in funding next year – the largest increase since 2010.
According to the Department for Levelling Up, Housing and Communities, for the forthcoming financial year Havering’s Core Spending Power will have grown by 9.5% from £200m to £219m and its Revenue Support Grant allocation will have grown by 26% from £1.5m to £1.9m. This increased funding follows a number of other recent announcements from the Department, including extra money to support hospital discharges into social care, alongside allocations to Havering via the Greater London Authority from the UK Shared Prosperity Fund.
Minister Rowley has asked Havering Council to get back to him if challenges remain and Mrs Lopez has continued to offer the Council the support of her office in engaging with his Department.
Julia said ‘I am grateful to Minister Rowley for agreeing to meet me with Cllr Morgon and his team. The additional investment in local government and the specific funding streams for support for the most vulnerable and those with social care needs is really welcome. As an authority with an older population, this £2 billion in additional grant funding for social care will be especially helpful for boroughs like Havering.
I was glad to see both Havering’s Council Leader and Chief Executive subsequently reflect on how positive this meeting was during this week’s Council Cabinet meeting. As they know, my team and I are always happy to help in advocating for residents’ needs, and we will continue to do so if further challenges need to be worked through.’