Stark warning issued over council finances

North Yorkshire Council leader Carl Les has called on the government for support

The leader of North Yorkshire Council has delivered a stark warning about the future of the county's finances.

Carl Les said various budget pressures meant the Conservative-run authority could be facing a total deficit of more than £30m by 2028 and called for more support from central government.

He said: "We are concerned that ministers do not fully understand the financial issues of running services in such a large rural area."

Speaking earlier this year, a government spokesman said they were aware councils had suffered from "short-term solutions" in the past, adding: "That's why we are working hand in hand with councils to reform this outdated system and fix the foundations."

Les said he was concerned about financial pressures worsening when the government announces changes to local government funding later this year.

He said the loss of the rural services grant in 2024 and the changes to employer National Insurance contributions introduced in April had already led to an "unexpected" loss of funding worth £22m.

"We are lobbying the government with support from our MPs to ensure that we get the fairest funding deal possible for North Yorkshire," he said.

"Unless the government changes its approach, we are likely to be dealing with very significant reductions in the grant we receive."

The government said: "We are injecting £69bn of funding into council budgets across England to help them drive forward the government's Plan for Change. That includes a £23m increase for North Yorkshire Council."

Together with his deputy Gareth Dadd, Les urged people to have their say on the council's spending plans through a consultation called Let's Talk Money.

Dadd said it was "vital" the council's leaders were able to see what residents' main priorities were in the run up to next year's budget being set.

"All councils are facing significant financial challenges, and there are unrelenting demands for services including those for children and young people with special educational needs and adult social care," he said.

"I would urge all our residents and businesses to give their views and have a say in such an important consultation for the county."

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