Tough cuts for Blackburn with Darwen but some protection due to Lib Dem pressure

Cuts have to be made across all areas of government spending, and local government is no different. The Lib Dems' top priority has always been to ensure that the local government finance settlement is fair, and protects councils in the most deprived areas. Despite the huge pressure on public finances, the Coalition has taken unprecedented steps to protect councils most reliant on central government funding.

We have taken a progressive and fair approach to calculating the grant allocations and more money is being channelled at those areas of the country that have the highest levels of need. The Coalition has also ended ringfencing of practically all revenue grants from 2011-12, meaning that councils will have greater control over how to spend more than £7bn of funding.

This will mean that councils will have more freedom to spend the money they receive on the priorities that matter most to their communities, not in accordance with centrally imposed diktats from Whitehall.

The Coalition is also supporting local authorities through:

· The New Home Bonus

· The fully-funded Council Tax freeze for 2011-12 which offers real help to hard working families and those on fixed incomes like pensioners

· The £1.4bn Regional Growth Fund will provide support to councils to help strengthen growth in all areas of the country.

· Thanks to Lib Dem pressure, no Council will receive a cut in spending power bigger than 8.9% in 2011-12; most will have a lower reduction.

· Focusing on spending power - the thing that really matters - has given added support to the councils that depend most heavily on the formula grant

· Thanks to the Lib Dems, all councils who relied on the WNF grant will benefit from transitional support

· £2.4bn of extra money is being given to Councils to support adult social care. The Supporting People Grant is unringfenced. The resource has been relatively protected and councils are being given more flexibility on how to deploy it in line with local need.