Review of Shropshire Council budget as overspend of £6.9 million forecast

The news comes after it was revealed there is a potential overspend of £6.9 million on a gross budget of £561.95m this financial year.

The authority is predicting that the main overspend will come in children’s services, at just more than £3m, while it also expects to overspend in adult services, place, commercial services, finance, governance and assurance, workforce and transformation and public health.

Shropshire Council's cabinet met and discussed the issue yesterday.

Councillor David Minnery, portfolio holder for finance, said: "The year has started off differently from how it was expected to start. This is clearly disappointing, and I would advertise a comment that I'm going to be making on Thursday to the council.

"In conjunction with James Walton, we've decided we need an overall thorough review of the base budget.

"It's one thing to notice we are going adrift once, but this is happening too often. Next year we need to have more confidence in that figures we are approving in February."

'Potentially disastrous'

Labour's Councillor Alan Mosley said the overspend is "not just potentially disappointing but potentially disastrous".

"We may well be getting to a point like other authorities where we are not going to be able to make ends meet in the future which is a very difficult circumstance," he added.

"I fear that this shows serious and significant problems for this authority and I would ask for confirmation that we're not in the same situation as other authorities that are in dire straits."

Council leader Peter Nutting said he will give Councillor Mosley the assurance that the council will balance its budget in the next two or three years.

He said: "We are doing everything we can to get this under control, we are nowhere near the financial difficulties other councils have got.

"There are always pressures and we will be doing everything to resolve them."