Steve Reed MP, Shadow Communities and Local Government Secretary commenting on a report from the independent Institute for Fiscal Studies, which highlights the ‘financial double whammy’ local councils are facing with increased costs and loss of income as a result of the Covid-19 crisis, said:

“Councils are already cutting back frontline services and sacking staff because the Government broke their promise to fully fund them for getting communities through the lockdown. That means they may not have the resources they need to support communities through the second spike in infections or to support local economies that are now in recession.

“Instead of learning from their mistakes, incompetent Conservative ministers are repeating them by allowing councils to sink deeper into debt as the new restrictions bite, which will inevitably lead to further cuts, job losses, and threats to local high streets and local economies.

“The Government promised to level up communities, but instead they are standing by and leaving them to sink.”

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