London Councils has submitted an official representation to the government’s multi-year Spending Review, making the case for ending the “permacrisis” in town hall finances and boosting boroughs’ resources for driving economic growth.

Among London Councils’ key asks is a call for overall council funding to be restored to 2010 levels by 2028-29, requiring real-terms increases of 4 percent every year.

Cllr Claire Holland, Chair of London Councils, said: “Investment in local government is critical to driving inclusive economic growth in the capital and across the UK.

“Councils have a pivotal part to play in supporting the government’s growth ambitions, particularly when it comes to building much-needed new homes in the capital. We need the tools and resources to make this happen.   

“After years of permacrisis in council finances, the Spending Review is a vital opportunity to turn things around and deliver a more sustainable financial future. Securing long-term investment will enable boroughs not only to survive, but thrive as local champions for growth.”  

The Spending Review is expected to conclude by June. London Councils’ representation can be found here.

Last week the Mayor of London, Sadiq Khan, and London Councils launched a new programme to transform the approach to making the capital’s homes warmer and more energy efficient and reducing Londoners’ energy bills. Warmer Homes London (WHL) will forge bolder ways to upgrade London’s homes as part of the retrofit revolution.

The initiative will help thousands of Londoners save money on their energy bills by funding energy efficient measures such as better insulation, replacing of fossil fuel heating and the introduction of heat pumps. Social landlords, low income owner occupiers and low income private tenants can access the opportunity to take part in the initiative. This will ensure that Londoners who are most vulnerable to fuel poverty will be able to benefit from the funding, whether they rent or own their home.

London’s homes are responsible for one third of the capital’s carbon emissions and many are not energy efficient, meaning they cost more to warm up in the winter and lose heat quickly. High living costs and rising fuel prices have meant that even more Londoners now face fuel poverty, with many people having to choose between heating their home or spending money on food. In social rented homes with poor energy efficiency, 56 per cent of households are living in fuel poverty. Making these homes more energy efficient is a key part of London’s efforts to tackle the climate emergency.  

Cllr Claire Holland, Chair of London Councils said:  “With 379,000 households in London living in fuel poverty, taking action to make homes in our city warmer and more energy efficient is vital for our residents’ health, wellbeing and finances.

“Warmer Homes London will bring together London boroughs, the Mayor of London, housing associations and government to drive this work forward. It aims to unlock millions of pounds of investment to deliver improvements to tens of thousands of homes across London, making them more energy efficient, reducing their environmental impact and saving Londoners money on their bills.

“Warmer Homes London is a perfect example of how tackling the climate emergency and improving the lives of our residents go hand-in-hand, with joint working across all levels of government vital to achieving this.”