Following the news that Nottingham City Council was the latest local authority to declare itself effectively bankrupt, local leaders across England and Wales have warned central government of painful cuts to frontline services. Here's more on the story.
Local authorities in England have said that due to a lack of funding announced in the autumn statement, that many face effective bankruptcy. This means they would have to resort to not using their budgets for anything that is not required by law.
Over in Wales, there are similar concerns, as the projections show that council services could cost around four hundred million pounds more than their budgets allow. Back in September Birmingham City Council declared itself bankrupt, putting a pause on all but essential spending. More recently, Nottingham City Council had to do the same.
Reasons contributing to the crisis are thought to be inflation, along with a growing demand for services. The government has said that they are open to talks with councils about their financial issues, and are due to outline funding for local councils for twenty twenty four later this month.
Local authorities in England have said that due to a lack of funding announced in the autumn statement, that many face effective bankruptcy. This means they would have to resort to not using their budgets for anything that is not required by law.
Over in Wales, there are similar concerns, as the projections show that council services could cost around four hundred million pounds more than their budgets allow. Back in September Birmingham City Council declared itself bankrupt, putting a pause on all but essential spending. More recently, Nottingham City Council had to do the same.
Reasons contributing to the crisis are thought to be inflation, along with a growing demand for services. The government has said that they are open to talks with councils about their financial issues, and are due to outline funding for local councils for twenty twenty four later this month.
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NewsTranscript
00:00 Local authorities in England have said that due to a lack of funding announced in the
00:07 autumn statement that many face effective bankruptcy. This means they would have to
00:12 resort to not using their budgets for anything that is not required by law. Over in Wales
00:19 there are similar concerns as the projections show that council services could cost around
00:24 £400 million more than their budgets allow. Back in September Birmingham City Council
00:31 declared itself bankrupt putting a pause on all but essential spending. More recently
00:36 Nottingham City Council had to do the same. Reasons contributing to the crisis are thought
00:45 to be inflation along with a growing demand for services. The government has said that
00:50 they are open to talks with councils about their financial issues and are due to outline
00:54 funding for local councils for 2024 later this month.
00:58 [BLANK_AUDIO]