'I'm sorry' says leader of council with £1.5bn debt
At a glance
Thurrock Council, in Essex, has debts of £1.5bn following investments primarily in renewable energy
- Published
The acting leader of a Tory-run council that has debts of £1.5bn has insisted he has said "sorry to the people" over its financial problems.
Mark Coxshall also said he was "confident we can make a recovery plan" to ensure Thurrock Council, in Essex, would continue to exist.
The council leader has given his first interview, to the BBC, since the government took control of the local authority's finances in September.
The Labour opposition said the investments had already "come back to bite the community".
"I've said sorry to the people," said Mr Coxshall.
"I say sorry day in, and day in. I say it to all the members. Sorry we got in this position."
An investigation by the Bureau of Investigative Journalism revealed in July that Thurrock Council had borrowed about £1bn, external from other local authorities to fund investments.
The Bureau reported the council helped buy 53 solar farms.
The government announced on 2 September that it was appointing Essex County Council as a commissioner to lead on big decisions at Thurrock
Among its responsibilities was to work out the value of the investments.
Conservative Rob Gledhill resigned as Thurrock's leader, and Shane Hebb, who held the finance portfolio for many years, resigned from cabinet.
The chief executive, Lyn Carpenter, is on extended leave and the finance director, Sean Clark, was suspended.
The council held its first cabinet meeting since the government intervention in public on Wednesday night.
Conservative councillor Luke Spillman said it appeared many of the budgetary briefings he was given since he joined cabinet in 2021 "were complete and utter fancy" and warned it was possible he and others were "wilfully misled over several key financial indicators".
Future generations
Speaking after the meeting, Mr Coxshall said: "There could be a future [and] there could be no future for Thurrock.
"If the debt is so large that it's unsustainable, why should the residents of Thurrock carry on with that?"
Northamptonshire County Council was abolished in 2021 after declaring itself bankrupt and, along with the county's district councils, it was replaced with two unitary authorities.
Thurrock gained unitary status in 1997 and provides all the council services in the district, many of which used to be provided by Essex County Council.
"I am confident we can make a recovery plan and I am confident we can deliver something," added Mr Coxshall.
John Kent, leader of the Labour opposition, will have the chance to question the leadership at a full council meeting on Thursday night.
He has said he was worried some services in the district, such as park maintenance and youth services, would suffer.
Mr Kent said: "The Conservatives that have been running the council since 2016 have borrowed £1.5bn mainly to fund some really risky investments that have gone belly up and come back to bite them.
"More importantly, it's come back to bite the community here in Thurrock that will suffer as a result."
An independent report into the council is due to be published on 3 January.
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