FINANCE

Council looks to address £100m 'black hole'

Somerset Council is considering measures, including reducing staffing and cutting services to statutory levels, to cover a £100m funding gap.

Somerset Council is considering measures, including reducing staffing and cutting services to statutory levels, to cover a £100m funding gap.

The unitary authority, which came into being in April, said its reserves would not cover the shortfall for next year and without action it would need to issue a section 114 notice at the point of setting its budget in February.

Officers are drawing up proposals to go before senior councillors next month, which include selling assets and buildings, increasing council tax, raising fees and charges ‘as much as possible,' cutting back staffing and reducing services to statutory levels.

Lead member for resources Liz Leyshon said: ‘No one wants to be in this position but we are well aware of the implications of a s114 notice.'

She said Somerset intended to take ‘difficult decisions' now with the benefit of local knowledge rather than leaving commissioners to find an answer.

The council's latest budget figures, which are expected to show an estimated £70m increase in adult social care costs for 2024-25, will go before the council's executive next week.

FINANCE

Call for strengthening oversight of developer contributions system

By William Eichler | 06 June 2025

Weaknesses in the developer contributions system intended to fund affordable housing and local infrastructure are undermining the ability of councils to nego...

FINANCE

Councils with climate action plans double

By Joe Lepper | 05 June 2025

The number of councils with climate action plans in place has almost doubled over the last seven years amid fears around the risk of flooding and extreme hea...

FINANCE

Councils' watershed moment

By Martin Ford | 05 June 2025

Next week’s Spending Review will have huge implications for the future finances of local government. Martin Ford looks at what we know so far, and the key qu...

FINANCE

SEND costs pushing capital's councils to bankruptcy

By Paul Marinko | 05 June 2025

London Councils has claimed almost half of the capital’s local authorities are at risk of bankruptcy due to insufficient special educational needs and disabi...

Popular articles by Ellie Ames