By Carole Dennett
There’s been little Christmas cheer at County Hall this week, following the publication of the draft Local Government Finance Settlement (LGFS) figures on Monday, revealing how much the government is set to give the Isle of Wight Council for 2024/25.
Despite months of work to provide evidence of extra costs of at least £6 million a year to provide services on the Island, there was nothing extra in the Christmas stocking for the Island’s council. Before leaving his post as local government minister in November’s reshuffle, Lee Rowley had told senior councillors to “wait until the LGFS was announced” to find out about the Island Deal. This week they were disappointed.
It is more than four-and-a-half years since Boris Johnson first promised proper funding for the Island’s needs.
The LGFS dismayed councils nationally, with the non-political Local Government Association saying it was “unthinkable” that not enough funding was being provided to meet the pressures facing local councils. A spokesman warned “No council is now immune to the growing risk of their financial sustainability”. Several councils have issued Section 114 notices, effectively declaring themselves bankrupt. It is not thought that the IW Council is likely to do so.
Council leader, Cllr Phil Jordan, said: “This is a kick in the teeth for the Island, and ignores the months of work carried out by officers and councillors to provide all the evidence the government asked for – and more. The forthcoming budget setting process will be even more challenging as a result.”
The news makes it almost certain that the council tax rise, in April, will be set at the maximum 5 per cent allowed by the government, and that Islanders will face further cuts to services and increases in various charges.