Council road maintenance and planning budgets could be cut by 80 per cent in real terms by the end of the decade, a report has warned.
The Local Government Association study said local authorities faced a £16.5 billion funding gap by 2019/20.
It said that if demand for social care and waste services was to be met, other services faced funding cuts of 66 per cent between 2010/11 and 2019/20. This is equivalent to 80 per cent when accounting for inflation.
The report said: “The 66 per cent cash cuts to non-waste, non-care budgets modelled in this paper [represents] a residual of a residual.
“It is what is left behind after central government budgets have been prioritised to protect schools, hospitals, pensioners and bondholders; and after council budgets have in turn been prioritised to fund care.
“As a result, spending on services such as planning and road maintenance have had to take a bigger hit.
“[This is] a perverse consequence when one considers that it is councils’ ability to invest in the services that help to generate economic growth that is being hampered.”