Almost 90% of next year’s core spending power increase for local government is based on the assumption that councils impose the maximum available council tax increase on residents, government figures reveal. When the 4.5% spending power increase for 2021-22 was first announced by the chancellor at the spending review the Institute for Fiscal Studies estimated three quarters of it would be reliant on council tax increases. However, figures published yesterday by the Ministry of Housing, Communities & Local Government alongside the provisional local government finance settlement show the figure is actually 87%. The news was met with widespread criticism from across the sector.