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Revenue Support for Local Authorities

Well over 80 per cent of local authority spending is met from support provided to local authorities in the form of Revenue Support Grant (RSG), non-domestic rates and a variety of grants provided for specific policy purposes in areas such as education and transport.

The overall revenue support package includes £22 million in deprivation grant.  Local authorities have complete discretion in the way that they spend the £4.1 billion of RSG and non-domestic rates we provide annually.

In response to the economic downturn we have advanced monthly payments of RSG to local authorities by five working days. Monthly payments have been brought forward to the third working day of each month to enable authorities to pay invoices for supplies and services more quickly and improve the cash flow of businesses, particularly small and medium sized enterprises.

Your local authority can provide you with details of how it budgets to provide local services and how its budget is funded.  More information on the wider arrangements for funding local government in Wales can be obtained from the Welsh Government’s Local Government Finance team on 0845 0103300.