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Richmond Borough's financial reserves at risk due to government cuts

Local News by Tilly O'Brien 1 hour ago  
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Government funding cuts have been labelled 'reckless' by Richmond Council, which has demanded a rethink.

In a motion at a full council meeting last night (Tuesday, 6 October), councillors warned the reforms would lead to substantial cuts to services and hit the residents who rely on them most.

Councillor Jim Millard, deputy leader and lead member for finance and resources, who proposed the motion, said: "These funding reforms will punish our residents and leave vital services facing a cliff edge.

"Our residents have every right to expect a fair deal from the government, not one that will have a devastating impact on the place they call home and the services they depend on.

"We will continue to do everything we can to stand up for them, fight these reckless cuts and persuade the government to think again."

The government funding reforms would cut Richmond Borough's annual core funding by £29 million by 2028/29.

That is around 58 per cent of its core funding allocation and the largest percentage cut in London. Over a four-year period, the council would lose £102 million from the changes.

The funding changes could wipe out the council's financial reserves within the next few years.

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A consultation asking residents to back a formal proposal calling on the government to rethink the plans under the Sustainable Communities Act was recently launched.

The legislation allows councils to seek changes to laws, policies or other barriers affecting their communities.

The council is urging residents to engage with the consultation to formulate a proposal to government that supports three key changes, including:

  • Rethink of the proposed funding allocations
  • An extended transition period in line with previous funding reviews
  • A greater share of locally generated income for councils

The consultation closes on 14 October.

Cllr Millard added : "It's crucial residents share their views as they will frame our proposal to the Government. So please, engage with the consultation if you have not done so already."

You can read the full motion here.

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