Liverpool City Council has dismissed claims that it will face major financial problems paying for its year as European Capital of Culture in 2008. Local papers have claimed the council will need to make nearly £30m in budget savings if the year-long event featuring art, comedy, cinema, food, music and theatre is to take place and not cripple the council financially. But council leader Warren Bradley dismissed the suggestions as scaremongering and said there would be no problem financing the event. Liverpool's council tax is to increase by 2.9% and Cllr Bradley has promised ‘additional money to make sure the city looks its best for its year on the global stage as European Capital of Culture.' A council spokesman explained the city council is currently putting together a medium term financial plan for the next three years, which will include details of how they will pay for the event. Executive member for resources Cllr Keith Turner said: ‘By early summer we will present our plans on how we will pay for Capital of Culture without affecting frontline service delivery.'
