Southwark's MPs are being urged to reconsider the borough's funding settlement, as council leaders warn of a significant financial shortfall. The Council Assembly, in a motion passed on Wednesday 23 September 2026, highlighted a projected £102 million funding gap, attributed to the Labour government's Fair Funding
review.
The motion, moved by Councillor James McAsh, leader of the council, and Councillor Victor Chamberlain, deputy leader, stated that the new Joint Administration, formed by the Green and Liberal Democrat groups, inherits a grim legacy
from the previous Labour administration. This includes financial challenges and a housing department rated as having serious failings
by the Regulator of Social Housing.
The motion calls for Southwark's MPs to publicly advocate for a re-evaluation of the Fair Funding
settlement. It also urges the leadership of the Joint Administration to seek an urgent meeting with the Prime Minister, the Chancellor of the Exchequer, and the Secretary of State for Housing, Communities, and Local Government to discuss the borough's financial position.
The Council Assembly also noted that three of Southwark's five Labour MPs hold senior government positions but have not publicly opposed the austerity measures impacting the borough. The motion explicitly calls on these MPs – Miatta Fahnbulleh, Florence Eshalomi, and Ellie Reeves – to ensure their new roles do not hinder their support for Southwark's residents.
The £102 million funding gap is described as the single largest round of austerity-forced savings in Southwark's history,
which council leaders warn will put public services, particularly those relied upon by the most vulnerable, at risk.
The motion passed by the Council Assembly resolves that the Joint Administration will do everything in our power to fight back against Labour's brutal austerity that is starving Southwark of the resources it desperately needs.
It also commits to engaging residents in a borough-wide campaign ahead of the budget to ensure their views shape council decision-making. The proposed strategy for this campaign is to engage in a major borough-wide campaign engaging with residents ahead of the budget, ensuring their views run through the heart of council decision-making.
The outcome will be that We will publish a summary of the results, and be clear about how resident engagement has shaped the budget.
The Council Assembly's agenda and minutes can be found at Agenda frontsheet Wednesday 23-Sep-2026 19.00 Council Assembly and Printed minutes Wednesday 23-Sep-2026 19.00 Council Assembly respectively. Further details are available in the Public reports pack Wednesday 23-Sep-2026 19.00 Council Assembly and Supplemental Agenda no. 1 Wednesday 23-Sep-2026 19.00 Council Assembly.
