By Jamie Waller, Local Democracy Reporter
Nottinghamshire County Council is facing a £60m shortfall in its budget over the next three years.
Problems including inflation, rising costs and an increase in social care expenses are being blamed for the black hole.
The current projected shortfall for the 2024/25 financial year is £8.7m, with the three-year deficit to 2026/27 estimated at £60.2m.
But the council says it will be able to reach a “good sound financial position” by the time next year’s budget is set in February, and doesn’t want to make cuts to services.
Councillor Richard Jackson (Con), the cabinet member for finance, said taxpayers should be reassured the gap will be closed.
“Like councils right across the country, we’re under a lot of pressure in terms of social care services. Inflation has also stayed higher for longer which impacts on our budget,” he said.
“We started from a good sound financial position, and we’re confident that we will get to a balanced budget when we come to the end of February.
“What we don’t want to do is to be cutting services. We want to change the way that we deliver them to save money rather than affecting the services that people rely on.
“The spending this current financial year is right on target, which is very hard to achieve.”
Cllr Jackson said the authority should not be compared with Birmingham City Council, the latest authority to effectively declare itself bankrupt by issuing a Section 114 notice.
“We’re in a far better position than many other councils. We’ve got a good position with our reserves and rainy day money that was put away,” he said.
The County Councils Network warned this week that one in ten councils faced financial collapse without emergency government funding.
The funding deal for local government next year is still to be announced, which will impact Nottinghamshire’s budget.
Figures collated by the BBC in August showed large mid-term deficits for many councils, with Leicester having a black hole of £64.4m by 2025/56, Doncaster having £22.3m, and Derby having £17.2m.
Nottingham City Council has a £26m gap in its current financial year, which is predicted to widen to £50.9m in the next year .
A report on the mid-term deficit will be discussed by Cabinet on Thursday, November 9.
Nottinghamshire residents have until Sunday, November 12 to take part in the council’s online consultation on next year’s budget.
