Senior Medway Council officers are in ‘ongoing discussions' with the Ministry of Housing, Communities and Local Government (MHCLG) over further exceptional financial support (EFS), it has emerged.
Deputy leader Cllr Teresa Murray has also written to ministers calling for additional grant funding due to ‘unique circumstances impacting the pressures on the adult social care budget'.
It comes after the first round of budget monitoring for 2026-27 forecast an overspend of £27m, significantly exceeding the council's general reserves of £10m.
A report to senior councillors read: ‘The current MTFO [medium-term financial outlook] projections cannot be balanced through the use of reserves and assume that further exceptional financial support from Government will be required. There remains a significant risk to the council's financial resilience should additional support not be forthcoming.
‘The chief operating officer continues to engage with colleagues at the MHCLG regarding the provision of further EFS in 2026-27 and the potential requirement for additional EFS to support the council in balancing its budget in 2027-28.
‘In the unlikely event that the MHCLG rejects the council's latest application for EFS, the section 151 officer may be forced to issue a section 114 notice to the council.'
Medway previously received £28.5m back-dated support for 2025-26.
