The Local Government Association says this year's settlement means even the least well-funded authorities will get an inflation level or above increase in the SSAs for education.
Stephen Lord, the LGA's head of grants distribution, welcomed the settlement. 'The overall increases and specifically those for education and social services are substantially above those of previous years when substantial numbers of authorities faced year-on-year reducations,' he said.
'One of the big unknowns is the teachers' pay settlement, and there is a one per cent hangover from the previous year. Nevertheless, it implies a three per cent increase in real terms - which is pretty dramatic.'