Provisional Local Government Finance Settlement

The Ministry of Housing Communities and Local Government have published their provisional local government settlement for 2025-26.

Key points include:

Core local authority spending power will increase by 3.5%
Recovery Grant funding will be available to support areas with high deprivation.
£5.9bn will be provided through the Social Care Grant, an increase of £880m from 2024-25.
£2.6bn will be available through the Local Authority Better Care Grant
£1.05bn will be available through the Market Sustainability and Improvement Fund
There will be a new Children's Social Care Prevention Grant worth £250m
The Government expect Councils to make use of the Social Care Precept and Council Tax increases which could potentially raise £650 and £970m respectively.

There is an opportunity to provide consultation feedback on this until 15 January 2025.

Shaping homecare together.