Question to the Department for Levelling Up, Housing & Communities:

To ask the Secretary of State for Levelling Up, Housing and Communities, what assessment his Department has made of the impact of (a) inflation and (b) the rise in the National Living Wage on local authority budgets.

The Spending Review settlement for local government takes account of a wide range of unit cost pressures, including increases in the National Living Wage and public sector pay. The Local Government Finance Settlement for 2022/23 makes available an additional £3.7 billion to councils in England, including funding for adult social care reform.

The Department will continue to work closely with the local government sector and other government departments to understand the impact of emerging challenges such as energy price rises and the impacts of the war in Ukraine on local authorities. Local government pay is negotiated between the National Joint Councils employer and union representatives. Pay is ultimately a decision for local councils.