Councils face funding crisis, claim TDs

LOCAL authorities are facing a major cash crisis next year, with new funding not enough to maintain services, Opposition parties claimed last night.

Environment Minister Martin Cullen yesterday announced a Local Government Fund of €626.3 million, an increase of 6.5%. The fund helps local authorities balance their budgets each year.

This block grant generally makes up about a fifth of the overall local authority budgets and the rest must be raised through commercial rates and local service charges.