Council halves overspending, but ‘no margin for error’

A council’s overspending is almost half of what was forecast earlier in the year, new figures have revealed.

Shropshire Council had predicted a £14 million overspend in January, but this figure was reduced to £7.9 million by the end of March.

The local authority said it had made more than £41 million in savings in 2023-24.

The board said it plans to stay within budget in the next fiscal year.

Further savings of £62.5 million are planned in a number of ways, including reducing operating costs, managing demand for services and reviewing property assets.

Gwilym Butler, cabinet member for finance, business and community resources, said: “The results report clearly shows exceptional savings for the 2023/24 financial year, more than the council has ever achieved previously, and is the result of strong reporting. a clear plan and hard work on the part of the officers.

The report shows the authority’s reserves have increased, but it says there is still work to do.

“This is still well below what is needed for a council of our size,” Mr Butler said.

“There is absolutely no room for error in our plans to achieve even more savings this year.”

The report says increased demand for essential services and rising costs pose particular pressures.

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