A new report from Parliament has laid it out clearly: local councils are facing a financial storm—and it’s hitting vital services like Adult Social Care and Public Health hard. Key findings from the Public Accounts Committee (June 2025) include:
Decreased investment in public health and early support has resulted in the sacrifice of prevention. Instead of preventing crises, councils are being compelled to respond to them, which results in increased long-term costs and worsened health outcomes.
The funding is unreliable and fragmented, as councils depend on a multitude of short-term, ring-fenced grants and emergency funding systems. The chaotic nature of the system renders it nearly impossible to plan ahead or provide consistent services.
Costs are increasing: The government increased the National Insurance contributions for employers, which resulted in an increase in costs for councils and care providers. There has been no comprehensive evaluation of the impact of this on the social care markets, which are already overextended.
There is a lack of long-term solutions: Temporary adjustments comprise the majority of the existing system. Councils are anticipating a national strategy that prioritises prevention as the primary objective of care, as well as a consistent funding agreement and more defined responsibilities.
Local Councils are working hard to find solutions for people in an incredibly difficult financial, social and political environment. They will need much more support if the changes we need are to become reality
Chris Bain 