Local Government Newsletter | Volume 44

Plus: London councils sound the alarm over local funding gaps

Local Government Updates

Welcome to Local Government, your weekly newsletter offering insights and strategies to help UK council leaders innovate, engage, and deliver better public services.

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WEBINAR RECAP

The Winter Cohort Insights session on 2nd April was packed with energy, frontline insights, and powerful takeaways on how councils are using GenAI to transform the EHCP process.​

Here’s what you missed:​

A national SEND system in crisis — rising demand, staff burnout, and a projected £3.9bn funding gap by 2027/28​. Real world results include:

  • 800+ hours saved​ across 23 councils.

  • 60% average time saved per plan​

  • £1m indicative savings for one council​

  • 400+ children supported so far

💬 What caseworkers are saying:​

~ “Every time I use it, the output is better, I get faster using it, and it saves me more time.”​
~ “I don’t think I can go back to not using the tool – I’ve become reliant on it now.”​
~ “Section A was always the worst bit to write, and the tool does it so well now.”​

EDUCATIONAL INVESTMENT

The UK government's allocation of £740 million to create 10,000 new SEND pupil places is a transformative move towards inclusivity in education. The funding aims to address the growing demand by expanding specialist units in mainstream schools and establishing new places in special schools, thus allowing children with special educational needs and disabilities (SEND) to thrive locally. With only 10% of mainstream schools currently offering specialist provision, this investment is vital in closing the gaps noted since the increase in demand from 7,000 to 26,000 EHCP-eligible children attending independent special schools.

The initiative is part of the broader Plan for Change, aiming to dismantle barriers to opportunities for SEND pupils across the country. The funds will also support creating inclusive environments through assistive technology and breakout spaces, ensuring that schools are equipped to meet diverse needs. The investment comes amid increased calls for reform in the SEND system, ensuring early detection and support for children, ultimately facilitating their integration and success within their local communities. With additional investments planned for wider infrastructure improvements, the government is underscoring its commitment to providing inclusive and sustainable education nationwide.

HEALTHCARE FUNDING

The Spring Budget 2025 disappoints by providing little new support for the NHS and social care, sticking to previous commitments on workforce, technology, and efficiency without additional funding. With a day-to-day budget increase of under 2% in real terms, the NHS faces mounting criticisms over its inadequate investment to tackle record waiting lists and overstretched resources. The national focus on preventing illnesses lacks a clear directive in the budget, though February's £200m rise in public health funding slightly alleviates this issue.

Financial pressures persist, with Integrated Care Systems (ICSs) forced to make deep cuts, balancing significant deficits without dedicated support. They are tasked with unrealistic productivity demands of 2%, double the historical average. Adult social care also remains overlooked, with a £2.8 billion funding gap, risking service disruption. The budget misses a crucial opportunity to invest in hospital infrastructure despite a £10.2 billion maintenance backlog, raising concerns over the sustainable future of public health systems.

LOCAL GOVERNMENT FINANCES

London councils face a financial crisis, exacerbated by an absence of meaningful funding reforms in Rachel Reeves' Spring statement. Despite a £500 million shortfall and 28% reduction in funding since 2010, the statement revealed minimal support for local authorities, raising concerns over the sustainability of essential services amidst escalating social care and housing demands. Urgent reform is needed to address the structural underfunding threatening London’s growth and the viability of borough services.

AGENCY SPENDING

Cumberland Council expended over £15 million on agency staff in 2024 to fill staffing gaps, primarily in Children and Family Wellbeing services, which accounted for 42% of this spending. This reliance on agency workers raises concerns about workforce sustainability, prompting the council to introduce international recruitment and training initiatives. The urgency lies in establishing a stable workforce to ensure continued support for essential regional social services.

Hi all, I’m Sarah - a former SEND Caseworker and now a SEND Advisor with Agilisys Transform helping create the next generation of AI tools for improving SEND provision. I was not always involved in SEND, as previously I was an editor of children’s educational books. I developed a passion for children’s learning and development so later re-trained and became a teacher in a special school. Following this, I worked as a SEND Caseworker/EHC Plan Writer for around 12 years. As a teacher and caseworker, my main focus has always been in improving outcomes for children with SEND and their families.

Reflecting on the journey of EHCP Plus, I’m proud of how far Gen AI has come in developing tools that empowers and frees up times for caseworkers and so supporting SEND departments in local authorities with statutory deadlines. The goal of a GenAI tool was to reduce the time spent on EHCP drafting, allowing caseworkers to focus more on children and families. Developed in partnership with local authorities and shaped by feedback, EHCP Plus enhances the caseworker’s role, ensuring tailored outputs that match each LA’s specific template, style, and terminology. This results in clearer, more consistent, and accurate plans that reflect the child’s needs and the views of families and professionals, while streamlining the drafting process. Feedback from trialists shows EHCP Plus is already making a real difference to LA SEND Departments.​

UPCOMING EVENTS

📅 Wed 16th April, 10:00 – 10:45AM BST​ | Digital & SEND Leaders Deep Dive

📅Wed 23rd April, 10:00 – 10:45AM BST | Council Case Study Insights – ​

📩  For more information, get in touch with [email protected] or head over to Agilisys website.

LOCAL FINANCE CHALLENGES

Council tax bills in the UK are set to rise by an average of 4.99%, impacting 24 million households, primarily to fund local services and increasing demand for adult social care. Many councils face financial strain, risking bankruptcy without reform. The tax is seen as regressive due to outdated banding based on 1991 property values, needing urgent reform to address inequalities and funding gaps.

TRANSPORT POLICY

Local councils in England must demonstrate progress in repairing potholes or face a 25% reduction in funding, as mandated by Transport Secretary Heidi Alexander. By mid-April, councils will begin receiving part of a £1.6 billion maintenance fund, contingent upon publishing annual progress reports and ensuring public confidence in their efforts. This initiative aims to address years of infrastructure decline and its associated costs, urging councils to show tangible improvements by June 30, 2025, to retain full funding support.

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