New figures show Camden Council will lose an additional £9million in funding from central government, on top of a 10 per cent already announced during the Chancellor’s spending review in June.

Documents issued by the Department for Communities and Local Government reveal larger reductions proposed for councils covering metropolitan areas.

Camden Council’s finance boss, Cllr Theo Blackwell, warned of more redundancies and increases to council tax in the wake of the funding loss. The most recent announcement also means savings will have to be delivered faster.

“Government haven’t just moved the goalposts, they’ve moved the stadium,” said Cllr Blackwell. “They have quietly announced that the financial landscape for boroughs like Camden will be much worse than expected.”

He continued: “This additional amount is the equivalent of further raising council tax by nine per cent. After the previous £83 million of cuts we have had to make to balance our budget, it is harder to deliver further savings without damaging services.’’