Wandsworth submits Autumn Budget proposal to Government, calling for fairer funding deal
Published: Wednesday, September 9, 2026
Responding to the Prime Minister’s letter to Council Leaders, inviting them to work with them on a new relationship between Government and local authorities, Wandsworth has today submitted proposals for the Autumn Budget. This warns that unless Wandsworth receives a fairer and more sustainable treatment it will not be able to work with Government on its proposals for adult social care reform, reforms to SEND provision, and reducing homelessness and will instead have to make tough choices about Council Tax and essential local services.
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The Government’s proposed Fair Funding reforms could reduce Wandsworth’s funding by more than £80 million a year by the end of the three-year settlement period, equivalent to a 40% cut by 2029. This will place significant additional pressure on Council Tax and essential local services.
The Council is requesting that Government:
- Extend the transition period from three to eight years with a clear, predictable taper.
- Allows Wandsworth to retain a meaningful share of locally generated tax growth.
- Reviews the funding formula to ensure it reflects the true costs and complexity of life in our borough.
- Close the Temporary Accommodation subsidy gap, which leaves councils paying for accommodation at today’s cost while only being reimbursed at 2011 rates.
- Works with us and our local partners to look at innovative approaches to reopen Hammersmith Bridge.
Cllr Peter Graham, Cabinet Member for Finance, said: “Changes to local government funding shouldn't punish the councils that worked hard, over decades, to keep their tax low. Value-for-money isn't a 'subsidy' and, precisely because there is less waste to cut, a budget gap this large can't be met through savings alone. We have to deliver core services.
"Nor should such dramatic changes be happening at this speed. The Government needs to look again at the problem it created, rather than forcing us to increase council tax. We need a more sensible settlement, a longer transition and more local control.”
The proposal comes as Wandsworth continues its Spending Review and works to identify savings and protect essential neighbourhood services.
Cllr Robert Morritt, Leader of Wandsworth Council said: “The Council is already taking action to prevent the funding cuts. We recently launched our borough-wide resident engagement exercise, which was launched to understand which services matter most to residents and inform the Council’s response to the financial pressures it faces.
“The Council will use findings from the engagement, to build a proposal under the Sustainable Communities Act. This is where we will formally ask Government to reconsider the proposed funding reforms.
“The Prime Minister has written to Council Leaders across the UK, saying that we understand our communities better than anyone. I agree. But if Government wants councils to deliver better outcomes, that knowledge must be matched by sustainable funding,” continued Cllr Morritt.
“Wandsworth is ready to work constructively with Government to find solutions that protect residents, support growth and reduce costs across the public sector in the long term.”
You can share your views on the Council’s financial pressures and local priorities through the Council’s resident engagement exercise.