Matt Warman, MP for Boston and Skegness, has welcomed the revised local government settlement released yesterday, which will give additional funding for Lincolnshire councils.

In a statement to the House of Commons, the Local Government Secretary the Rt Hon Greg Clark MP confirmed that the Government will run a Fair Funding Review to look into the funding needs of different types of areas as local government spending moves towards being funded by local resources rather than a central grant.

Following concerns raised by rural MPs about the longstanding gap in funding between urban and rural areas, the Government has increased the Rural Services Delivery Grant from £15.5 million this year to £80.5 million next year – £60.5 million more than in the provisional settlement. This is in addition to extra transitional funding for councils which have seen the sharpest reductions in their Revenue Support Grant.

During the statement, Matt drew particular attention to Lincolnshire being a sparsely populated rural area and asked for the Minister’s confirmation that the revised settlement took these conditions into account. Greg Clark agreed, stating that Lincolnshire will be receiving around £5 million more than previously expected during the year ahead.

Matt said, “It is good news that the Government has listened to rural backbench MPs from Lincolnshire and across the country and provided more funding for rural councils than originally planned. As a rural and sparsely populated county, Lincolnshire faces particular pressures on funding, so the additional funding for both the County Council and local district councils will help them in delivering the services they provide.”

• Matt’s question can be seen in full via the following link: http://www.publications.parliament.uk/pa/cm201516/cmhansrd/cm160208/debtext/160208-0002.htm#16020812000317
• Lincolnshire County Council will receive additional funding from central government of £5.19 million in 2016/17 and an extra £2.58 million in 2017/18 compared with the provisional settlement. This comprises, for 2016/17, £11,388 in transitional grant and £5.18 million in extra Rural Services Delivery Grant. For 2017/18 this comprises, £9,447 in transitional grant and £2.57 million in extra Rural Services Delivery Grant.
• East Lindsey District Council will receive additional Rural Services Delivery Grant funding from central government of £496,211 in 2016/17 and £246,055 in 2017/18.
• Boston Borough Council will receive additional Rural Services Delivery Grant funding from central government of £63,672 in 2016/17 and £31,573 in 2017/18.