Hartlepool Labour Councillors Threaten Mass Resignation Over Care Funding 'Betrayal'
Hartlepool Labour Councillors Threaten Quit Over Care Funding

Hartlepool Labour Councillors Threaten Mass Resignation Over Care Funding 'Betrayal'

Keir Starmer is confronting a potential mass resignation of Labour councillors in Hartlepool, County Durham, described as one of England's most deprived areas, amid accusations of a 'betrayal' regarding funding for children in care. The council leader, Pamela Hargreaves, revealed that her group of 21 councillors, who hold overall control of the 36-member council, are contemplating quitting Labour this week in protest over what they deem an 'unfair' cash settlement.

Funding Shortfall Sparks Despair and Revolt

Hargreaves expressed deep frustration, stating, 'We feel betrayed. We feel let down.' She highlighted that Hartlepool requires an additional £3 million to manage its escalating social care bill, but the government has refused this request. The town has the third-highest number of children in care per capita in England, exacerbating the financial strain.

Jonathan Brash, the Labour MP for Hartlepool, underscored the inadequacy of the government's offer, noting that a £3 million cash increase is 'the equivalent of funding around six children in care.' He warned that this settlement has left councillors 'distraught, despondent and profoundly worried,' threatening services like libraries, youth provision, and community hubs.

Broader Context of Local Government Crisis

The situation in Hartlepool reflects a wider crisis in local government funding across England. Local government leaders have called for a significant increase in funding to prevent more authorities from facing bankruptcy, following years of cuts and rising costs under previous Conservative administrations. Hartlepool, ranked as the sixth most deprived council in England, plans to raise council tax by 4.99% for 2026-27, the maximum allowed without a referendum.

Steve Reed, the local government secretary, asserted that ministers are 'realigning' funding to ensure poorer areas receive a fairer share. However, Hargreaves countered that the current settlement fails to deliver on promises of equitable funding, forcing hard-working residents to shoulder the burden through higher taxes.

Political Implications and Historical Background

This funding dispute comes amid political turbulence for Labour. Starmer recently faced criticism for abandoning plans to cancel local elections in 30 areas, a move accused of being a costly U-turn that could lead to damaging results in May. Hartlepool, won back by Labour two years ago from a Conservative-independent coalition, now faces potential gains by Nigel Farage's Reform UK in upcoming council elections.

Hargreaves lamented the irony for Labour members who campaigned vigorously to regain Hartlepool after a devastating 2021 byelection loss to the Conservatives, which once prompted Starmer to consider resigning. 'We've stomped the streets, we've put all the leaflets through, we carried the Labour message,' she said, 'and now here we are again at the 11th hour with not enough money to fix issues beyond our control.'

Overspend and External Pressures

The council is grappling with a £6 million overspend on its children's social care budget, partly attributed to other local authorities 'dumping' families in Hartlepool. Hargreaves emphasized that unless the government intervenes to help fund this shortfall, mass resignations are definitely on the table. 'If it comes to that, that is something that is definitely on the table for consideration because we're lost. Where do we go? Nobody seems to be listening,' she concluded.

The Ministry of Housing, Communities and Local Government has been approached for comment, but no response has been provided at this time.