Leader's statement - Autumn budget

Cllr Peray Ahmet, Leader of Haringey Council, has given her reaction to the Autumn Statement from the Chancellor on Thursday.

I am deeply concerned by the outcome of the Autumn Statement announced by the Chancellor and the impact it will have on thousands of our residents across the borough.

The facts speak for themselves - local government funding is at crisis point, the cost-of-living emergency is already having a huge impact on our communities, and people are turning to their councils for support.  

With soaring bills, the last thing our community wanted to hear is that there will be vital spending cuts that will affect key services for our residents.

Families across our borough were already struggling with crippling energy costs and are deeply concerned by the average household energy bills rising to £2500 – let alone the news today that it will now rise another by £500 to £3000 from next April.

The energy crisis, soaring inflation, increases to National Living Wage, the impacts of twelve years of austerity, and rising demand for services has put huge additional financial pressures on councils’ budgets, meaning local government faces a £3.4 billion short fall in funding in 2023/24 and £4.5billion in 2024/25. 

Recent research proves poorer areas have been hit disproportionally by a combination of cuts to neighbourhood services such as parks, libraries, refuse collection and children’s centres since 2010. 

Funding to local services in areas with greater need has fallen further and faster than spending in more affluent areas. 

Our communities shouldn’t have to pay the price when it comes to a rise in council taxes or a rise in rents. 

The Chancellor has announced that local councils who provide social care will be able to increase council tax by 5% next year but this will further increase the burden on households and is not nearly enough to close the funding gap.  

Councils need urgent funding so that we can deliver frontline services, respond to the cost-of-living crisis, and ensure our most vulnerable residents are getting the help they need.