Targeting support to make things fairer
The Council's budgets
The Council has two main types of budgets:
- one for long-term investments (capital investment)
- one for everyday expenses (revenue)
Unlike other public bodies, local councils cannot spend more money than they have. They must balance their budgets.
If the government reduces funding, councils need to cut spending or increase income, like raising council tax and fees.
If councils can't balance their budgets, the government will step in and do it for them, which might not consider local needs or priorities.