Havering Council is grappling with severe financial challenges as it enters the 2025/26 fiscal year with a staggering £71 million budget deficit. This figure includes a £32.5 million shortfall from the previous year. The council has been granted an eight-figure loan to manage its finances, especially due to overspending on social care and housing. Despite previous cuts and measures, officials warn that without a major overhaul of governmental funding formulas, future financial crises could demand even larger amounts, possibly between £70 million and £150 million in the following year.
The cash-strapped authority is set to enter 2025/26 facing a £71m black hole in its budget, compounded by a previous £32.5m shortfall.
Councillor Chris Wilkins stated that unless there's a fundamental change in the government's funding formula, the council could face even higher financial demands in the next year.
Collection
[
|
...
]