STRATFORD District Council’s finances are looking healthy.
It is one of the few authorities in the country with a zero shortfall in its predicted budget for the next financial year according to new figures released by Unison.
The trade union has predicted a shortfall of millions of pounds for many local authorities in its national report ‘Councils on the Brink’, which measures the difference between each council’s income and the amount needed to maintain services.
That includes Warwickshire County Council which faces a £14.5million financial black hole in its 2025/26 budget.
But while SDC remains on a firm financial footing the authority is not being complacent.
SDC’s resources spokesperson Coun David Curtis said: “In the short term, the council is financially sustainable assuming it continues to receive funding at levels similar to previous years. Any confirmed reduction in central government funding will create budget pressures for SDC, and this may necessitate long-term savings to maintain a balanced budget in the future.
“In regard to the government funding, it is believed there will be a single year settlement this year with a multi-year settlement next year. This hasn’t happened in nearly a decade and is good news as it will enable the council to plan into the future knowing the funding it will receive.”
Unison says councils across the UK were ‘clobbered’ by the previous government through ‘harsh’ financial settlements such as the phased removal of the Revenue Support Grant, which in 2010-11 provided WCC with £11.7million.
A WCC spokesperson said the council was facing ‘significant financial challenges’ like many others across the country.
They added: “We have a statutory duty to set a balanced budget each year and our robust forecasting and prudent financial management support us to do that.
“There is, however, significant tension between this requirement and our statutory duty to provide services in key areas where demand is increasing.
“Like any well-run organisation, we have acted swiftly to mitigate the current pressures. At the same time, we are also working on options for setting our 2025-26 budget and five-year Medium-Term Financial Strategy over the coming months.”
UNISON West Midlands regional secretary Ravi Subramanian said councils were ‘teetering on the brink of financial disaster’.
He added: “Countless essential services and very many vital jobs are at risk. Ministers cannot ignore the terrible plight of authorities of every political persuasion.
“There’s an unquestionable need to turn the page on the destructive cuts of the past and invest in services and staff to help councils rebuild Britain.”
