Seasonally adjusted local authority statistics for the September 2011 quarter, compared with the June 2011 quarter, show that:

• Local authorities' operating deficit improved $43 million.
• Operating income increased $86 million (up 4.6 percent), driven by rises in current grants, subsidies, and donations.
• Operating expenditure increased $44 million (2.3 percent), driven by rises in purchases and other operating expenditure.

Local authorities had an operating deficit of $7 million in the September 2011 quarter, compared with a deficit of $79 million in the September 2010 quarter.  

Local authorities' actual (not seasonally adjusted) deficit for the September 2011 quarter was $34 million, compared with a deficit of $81 million in the September 2010 quarter.