This week the UK government reported its lowest annual deficit since 2007, which at £46 billion, stands below forecasts. One factor behind the shrinking deficit was reduced local government borrowing.

At the same time, UK councils are facing growing pressures as a result of cumulative austerity measures since 2010, with the National Audit Office calling the situation ‘unsustainable’ in a recent report. Scandals such as rampant knife crime and squeezes on social care have been blamed on this.