People in Lancaster lose cash in ‘unfair’ council funding deal

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Households in the Lancaster district have lost nearly six times as much council funding as those in the ten most well off areas of the country, new figures show.

Cat Smith, Labour’s Parliamentary candidate for Lancaster and Fleetwood, is calling for a fairer funding deal after the figures revealed that households in the Lancaster district have each lost an average of £286.31 in Government funding since the Tory-led Coalition Government came to power in 2010.

The ten least deprived areas in the country lost an average of just £48.35 per household.

And 13 councils, all in the south, have enjoyed increases in average funding per household.  The Isles of Scilly receive an extra £80.11 per household, while households in Epsom and Ewell district in Surrey get an extra £61.43 per household.

The figures come after Lancaster City Council lost £1.7m in Government funding – nearly 14% of its total – for 2014/15.  Between April 2010 and April 2014 the number of staff employed by the council fell from 955 to 791 – by 17% - amid the budget cuts.  Spending on services is likely to have to be cut by another £2.5m over the next two years as the Coalition’s cuts continue to bite.

Ms Smith said: “David Cameron told people in this country ‘We are all in it together’ but these figures again show that nothing could be further from the truth.

“It is a scandal that spending has increased in households in more affluent areas while some areas of real deprivation have lost as much as £1,000 per household.

“Lancaster has not lost quite that much but £286 is still a significant amount, especially for an area in the top half of the table for deprivation in which some people are really struggling.

“People understand that touch choices have to made following the recession but they have a right to expect that these choices will be fair and Labour will ensure a fairer deal for everyone.

“We will devolve £30 billion in Government funding to local councils and enterprise partnerships - giving them more powers to help local people and invest in things that really matter like skills for young people, apprenticeships, health and social care, new homes and transport.”

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