Council's 'deep concern' over funding overhaul
LDRSA council has expressed "deep concern" over a new local government funding formula which it said would cut millions from its annual grant.
Westmorland and Furness Council said government changes failed to recognise the higher costs of delivering services in rural areas, with the authority facing a £40m gap by 2028/29.
The fair funding review aims to benefit deprived areas and the government has previously said it would continue supporting councils as they move to the new system.
But the Liberal Democrat-led authority said its council tax income had been overestimated.
"All these changes will create a funding gap of £11m for 2026/27, £25m for 2027/28, and £40m by 2028/29," the council said.
The government said more funding would go to places "with the greatest need" thanks to the overhaul.
"All councils will be protected financially during this change, with the change to new funding amounts being phased in gradually to keep services running smoothly for residents," it said.
'Devastating impact'
Westmorland and Furness Council's financial settlement is due early next month.
Proposals on tacking the funding gap for 2026/27 will be presented at its budget meeting in February.
Deputy leader Andrew Jarvis, who is also cabinet member for finance, urged the government to reconsider its approach.
Westmorland and Furness Council"Sadly, if the government goes ahead with its proposals, then our residents will be paying even more council tax in the future, while the council will have less to spend on vital services," he said.
"Such a large funding gap can only be filled by fundamentally transforming how our council works and what our council does.
"It will lead to the council having to make difficult decisions, decisions that will definitely affect our services and what we can afford to deliver for our residents.
"We will continue to lobby government to ask them to reconsider their proposals and the devastating impact they will have on our area."
The government said the £600m recovery grant, which was introduced in 2025, would continue.
"A new recovery grant guarantee will also protect upper tier councils receiving this money, giving them above-inflation increases while they adapt to the fairer funding system," it added.
