An MHCLG spokesperson said: “We will make almost £78bn available for council finances next year and will fix the outdated and unfair funding system we inherited.”
The figure includes the revenue local authorities are expected to raise through council tax.
However, both Cumbrian council leaders accused the government of a “mistake” in how it had calculated funding allocations.
They said a one-off boost to council tax receipts from the introduction of an extra charge on second homes had distorted the government’s sums about how their income was likely to grow in future.
MHCLG would not comment on the supposed error, but it is understood the calculations are based on a five-year average of council tax growth.
The provisional settlement is subject to a consultation, ending on 14 January.