Quarter of English Councils Face Bankruptcy Without Government Bailouts
A survey reveals that 25% of councils may seek financial support due to severe funding gaps exacerbated by rising social care costs.
- English councils are experiencing a financial crisis, with a projected £2 billion funding gap next year.
- Rising costs in social and educational services, along with inflation, are major contributors to the financial strain.
- Councils have resorted to emergency measures like borrowing and asset sales to balance budgets temporarily.
- Without additional government funding, councils may cut essential services, affecting vulnerable populations.
- The Local Government Association urges the Chancellor to address these issues in the upcoming budget.