Recent reports from Cambridge to Camden have exposed a growing crisis in local government that working people across England can no longer afford to ignore.
While councils face budget black holes, core services are under pressure, and workers are seeing their taxes rise year after year, local political leaders are hiking their own pay and spending public money on projects that seem far removed from frontline needs.
At the centre of the latest storm is Cambridge City Council, where Labour leader Cllr Cameron Holloway has awarded himself a 33% pay rise, raising his annual allowance from £23,459 to £31,276.
This comes as the council faces a £3.6 million budget shortfall and has faced national criticism for using taxpayer-funded grants for projects such as cookery classes for asylum seekers to “experience joy”, while denying any cuts to essential services.
Meanwhile, a much larger financial storm is brewing.
One in Four Councils Set to Lose Out
According to a recent analysis by the Institute for Fiscal Studies (IFS), sweeping reforms to how local authorities are funded will leave about 186 councils worse off, with one in four losing money in real terms.
These changes, set to be phased in between 2026 and 2029, are being driven by the Government’s attempt to “rebalance” funding based on population, deprivation, and local ability to raise tax revenues.
But instead of injecting more money into a broken system, the reforms simply rearrange the deckchairs. Some councils, especially in inner London and the South East will see major cuts to their central funding.
Others, mainly in the Midlands and North, will gain. But the overall funding pot is not increasing. When you dig deeper, you find that the main recommendation for affected areas is simple: raise council tax even higher. In other words: working families pay more, and get less.
The Impact on Workers
The Workers of England Union is clear: this is not about north versus south, or urban versus rural. It’s about fairness, transparency, and accountability in how public money is used and how working people across all of England are treated by the very councils they fund.
Workers in England are already paying high council tax bills, often in return for declining services like waste collection, housing support, adult social care, and road maintenance.
Now they are being told to pay even more, to cover shortfalls in council budgets caused by years of mismanagement and political decisions made without public consent.
At the same time, we see local leaders increasing their own allowances, and councils spending tens of thousands on projects that don’t reflect the basic needs of their residents. Many of whom are already struggling with the rising cost of living.
This is not fair governance. It’s not sound financial management. And it’s certainly not in the interests of the working people of England.
Why the WEU is Speaking Out
The Workers of England Union is proudly not politically aligned to any party. But we are completely committed to defending our members and ensuring their taxes are used fairly and responsibly.
The Workers of England Union believe in:
- Fair taxation: People should not be punished for living in certain areas through excessive council tax hikes.
- Efficient public services: All taxpayers across England should see clear, tangible benefits from the money they pay.
- Transparent governance: Pay rises and public spending must be justified, especially in times of financial hardship.
- Equal treatment: Workers in England must not be left behind in a postcode lottery of funding.
We also believe that local accountability has been eroded. Too many councils are now operating as if they are unanswerable, prioritising internal political agendas and self-reward over the needs of the people who fund them.
Local government funding reform must not come at the cost of service cuts, council tax hikes, and disrespect towards the working people of England. As workers, we pay the price of poor governance.
Stephen Morris, General Secretary, Workers of England Union said
“Working people across England are being squeezed harder than ever, paying more in council tax and getting less in return. The Workers of England Union stands firmly for fairness, transparency, and accountability. Our members deserve to know how their money is being spent. Ask your colleagues, family and friends to join the WEU so we can increase the power of our voice when raising these concerns”