Weekly Column – 16.07.2025 – Action to fix unfair and outdated council funding

The Labour Government has announced a radical overhaul of the way local councils are funded, fixing the unfair, outdated system left behind by the Conservatives and allocating money according to need.

Under the Conservatives, rural and coastal areas like ours were overlooked and faced higher costs to deliver essential services across long distances and smaller populations. Coupled with a decade of austerity, councils up and down the country were crippled and left struggling to run basic services.

We’re going to fix this. The local government funding system will be reformed to get councils back on stable footing, improve lives for people across West Cumbria and deliver essential funding for better public services.

Labour will update the decade-old funding system to ensure that councils get the fair share of funding they need to deliver local services, specifically recognising the higher costs of delivering services in coastal, rural and remote communities like ours. For the first time, the Government will factor in things like remoteness and sparsity, seasonal demand from visitors and the cost of public services in coastal economies when assessing funding needs, supporting councils like ours to deliver services more effectively. 

Alongside this, the Labour Government has also announced action to make things fairer for council taxpayers by ending outdated rules for tax collection and spreading payments over 12 monthly bills as standard.

At the moment, those facing financial difficulty who miss council tax payments can be required to immediately pay the whole year’s sum, with bailiffs being sent and no payment plan offered. Under Labour’s plans, payment plans will now need to be offered, with councils working closely with those struggling with their bills.

I’ve written to Deputy Prime Minister Angela Rayner, alongside my fellow Cumberland MPs, Cllr Mark Fryer, and Commissioner David Allen, to make the strongest possible case to ensure that Cumberland benefits from this new fair funding review and we’ll be lobbying ministers in the months ahead to ensure we do.

Alongside our work to deliver an ambitious mayoral settlement for Cumbria, our push to make Cumbria the pilot for devolved funding and decision making for farming and nature recovery, our campaign for a major upgrade of the Cumbrian Coast Line, and our effort to bring new nuclear to our area, Cumbria finally has a united team of political leaders working together locally and nationally to speak with one voice and fight for our communities.

With some of the most deprived communities in the country right here in West Cumbria, I’m also arguing for specific, targeted funding from the government to be provided at a local level for long-term investment to help transform deprived neighbourhoods. I’m working closely with ministers to make the case for this programme and hope to have more to say on that soon.

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