Helen Hayes

Helen Hayes

Labour — Dulwich and West Norwood

Speaking in the House of Commons on 10 February 2026

Debate

Inner-London Local Authorities: Funding

Contribution

I agree completely. The levy is a really important source of additional revenue into London, and it is so important that it is spent where it is needed. That does mean allowing councils to retain some of the receipts—I would say 50%, as London Councils is calling for—in order for them to do exactly that. Exceptional financial support was designed to be a temporary intervention to support councils with acute financial pressures, but the consequence has been a growing number of councils running structural deficits. Will the Minister set out in greater detail how the Government intend to support councils to exit EFS so they are not held back by growing deficits? Finally, the announcement yesterday on SEND deficits is very welcome. It is a clear recognition that the current costs of SEND provision are totally unsustainable. Writing off 90% of SEND deficits will only help if the forthcoming SEND reforms are properly funded and designed such that they are financially sustainable. What is the Minister doing with the Department for Education and the Treasury to make sure that councils’ statutory SEND responsibilities are properly funded when the schools White Paper is published? Our councils and councillors are a crucial part of the bond of trust between local residents and the politicians and governments that serve them. We cannot leave our councils in the position in which the Conservatives were happy to leave them, with no answer to the needs of their local populations because they do not have the resources to deliver. Our local residents need and deserve clean streets, well-kept parks and open spaces, good-quality road services, good adult social care and effective children’s services, good-quality homes in the social rented sector, and proper support for children with SEND. They deserve nothing less, so that they can trust that government is there to deliver for them. We owe it to our dedicated, hard-working colleagues in local government to support them.

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