Cllr Claire Holland, Deputy Chair of London Councils, said:
“It is welcome that Government has listened to the sector and acknowledges the serious financial pressures putting immense strain on local services. However, even with the extra funding, London boroughs face a funding gap of over £400m next year.
“It is disappointing that the plight of homeless families living in temporary accommodation was not acknowledged. The national housing crisis is particularly acute in London, with one in 50 Londoners living in temporary accommodation. This year London boroughs are forecast to overspend by at least £150 million to provide housing to those in need due to an extreme lack of affordable homes across the capital.
“London boroughs have forecast to overspend on adult and children’s social care by £350 million this year. While they will receive £77 million from the additional £500m to support adults' and children’s social care, it is insufficient to meet the need and complexity of need of our residents. It is also very concerning that the formula used to distribute this funding takes no account of children’s social care needs. If it did, London boroughs would receive more than £100 million.”