Budget a ‘crucial turning point’ for Rotherham says council leader

Chancellor Rachel Reeves presented Labour’s first budget since 2010, following the party’s victory in the July general election.

In her speech, she unveiled a package of tax increases totalling £40 billion, aimed at funding the NHS and other vital public services.

The Chancellor also announced extra funding of £1.3bn for local councils next year.

Local authorities will also keep all cash from Right to Buy sales from next month.

The announcement has been welcomed by Councillor Chris Read, leader of Rotherham Metropolitan Borough Council (RMBC), which has faced a funding gap of £200 million since 2010.

“The reality is you simply cannot keep doing more with less every year, decade after decade, “Coun Read said. “So, when it came to the biggest question—would the Chancellor stand behind our public services or try to force through further ruinous cuts—she has undoubtedly chosen the right course and deserves huge credit for doing so.”

While Labour’s Coun Read acknowledged the need to see the full details of the funding settlement to understand its implications for Rotherham, he welcomed some of the immediate measures announced.

Among the highlights were an extension of the Household Support Fund to assist residents on low incomes, as well as funding for the long term plan for towns, which will benefit Rotherham’s town centre—a key issue that the council had been lobbying to retain.

Additional funding to support rising costs in homelessness and special educational needs provision was also included, which the council leader said would have a “practical difference” for local communities.

He also praised the government’s commitment to recognising local needs and deprivation in how funding is distributed, a departure from what he described as the “Tories’ nightmarish obsession” with redirecting money to wealthier parts of the country.

“There are still challenges ahead,” he said. “In an ideal world, we would have seen more funding for employment schemes and financial advice services through the UK Shared Prosperity Fund.

“While the fund has been extended, it’s at a reduced level, and we will need to assess the impact of that. But even with this, we’re in a far better position than we could have been.”

The council leader added that the announcement alone cannot undo the damage caused by years of austerity, and warned that councils across the country, including Rotherham, will continue to face difficult decisions in the months ahead, including rises in council tax and potential service cuts.

However, he pointed out that this budget could have been far worse for local government.

“What we got instead was a very welcome alternative,” he concluded. “It won’t solve everything, but it’s a step in the right direction for communities like ours.”