Council makes £3m in savings but more cuts needed

The council previously said it might have to move out of its Civic Centre building

A city council managed to slash its budget deficit from £14m to £10.7m.

While Southend-on-Sea City Council had made progress since July, the Essex unitary authority could still be declared bankrupt if it does not balance the books before the end of the financial year, a council report said.

Conservative council leader, Tony Cox, said while the deficit was "following the right trajectory" the council needed to keep on top of it and "double down".

The authority blamed the budget gap on financial pressures which included inflation and demand on services.

Conservative leader Tony Cox said the council needed to 'keep on top' of the budget

The local authority is also facing a predicted shortfall of £15m for 2024/25, up from £9.3m.

Mr Cox said budgets that have not been "balanced in years", created "high deficits".

“It’s been all hands to the pump in looking at getting the exact position of where we are so we can take the appropriate measures to bring the inherited financial mess under control," he added.

Last year, the council was told "stringent" cutbacks had to be made to avoid a Section 114 notice, which effectively declares bankruptcy

A report to the council’s cabinet, which will meet on Monday, called for voluntary redundancies, a recruitment freeze, department restructuring and the sale of council assets.

The authority also launched a consultation on other measures, which included closing four children’s centres and two libraries to help with the predicted £30m budget gap over the next four to five years.