Rural Services Delivery Grant

Today, after a sustained negotiation with the Local Communities Department, the Rural Fair Share Working Group (of which I am a member), has secured the changes needed to the local government settlement. Each year Cornwall Council receives the majority of its money from Central Government.

We know now that money will be given to rural councils so that the historic gap between rural authorities and urban authorities will not increase (currently some urban councils receive 45% more per person than rural councils).

We asked that more money be given to rural councils to reflect the fact that some services cost more to deliver in the countryside. Today we learnt that the Rural Services Delivery Grant will be increased from £15.5 million to £80.5 million in the financial year 2016/17.

Finally, and most importantly, it was announced that a new funding formula will be introduced to take into account the ageing demographic of rural areas, which increases the costs of delivering services to our older citizens. This will mean that the gap between rural and urban councils, which has existed for years, will be addressed.

Cornwall will receive additional Rural Services Delivery Grant funding from central government of £2.95 million in 2016/17.

You can read the Western Morning News report here: