Nottingham City Council declares itself 'bankrupt'
The authority is set for a £23m overspend in 2023-24
City council leader intends to continue in role
The authority has faced numerous financial issues in recent years
City MPs to work with council to support residents
Councillors will meet to discuss section 114 notice
The government says it is 'assessing' the situation
Dan Martin
BBC News
Kevin Clarke, the leader of the council's opposition Nottingham Independents group, said: "I think it was inevitable.
"One thing led to another and they can't meet the budget."
He said the council's past misspending left the authority with "no resources to rely on".
Amy Phipps
BBC News
Immigration minister Robert Jenrick, who is also the Conservative MP for Newark in Nottinghamshire, has criticised the city council's leadership following the section 114 report.
In a post on X, formerly Twitter, , externalhe said: "Nottingham City Council and its Labour leadership have proven themselves utterly unfit to govern this great city.
"Their breath-taking waste and incompetence have let residents down for long enough.
"It's time for the Secretary of State to appoint commissioners to restore order."
Amy Phipps
BBC News
A meeting of all councillors will need to take place within 21 days to consider the section 114 report.
Until they meet, the spending controls already in place will be further tightened, meaning any spending not already contractually committed or otherwise agreed is immediately stopped.
Alex Smith
BBC News Online
The government has responded to the situation in Nottingham.
A Department for Levelling Up, Housing and Communities spokesperson said: "We used our statutory powers to intervene at Nottingham City Council last year over serious governance and financial issues and have been clear that improvements must be made.
"We have expressed concern over the lack of urgency demonstrated by the council in addressing these challenges, despite the efforts of the Improvement and Assurance Board. Ministers have been clear that the onus is on the council to deliver the necessary improvements to the board's satisfaction.
"We are assessing the situation and will consider whether further action is necessary."
Hugh Casswell
Political reporter, BBC Radio Nottingham
Put bluntly, this doesn't come as any great surprise.
Nottingham City Council has been grappling with multi-million pound budget gaps for years, and announcing cuts to services has become an annual event.
Inflation and rising demand for services is common of all councils, but what sets Nottingham apart is those high-profile blunders.
They've been acknowledged. They've been apologised for. But they have a lasting impact, not least in terms of how much the council has in its reserves.
Amy Phipps
BBC News
A recent report said the Labour-run council was set for a £23m overspend in the 2023-24 financial year.
The authority cited increased demand for children's and adults' social care, rising homelessness and the impact of inflation as putting extra pressure on its finances.
Alex Smith
BBC News Online
The financially-stricken council has faced a series of issues over the years, and was already being monitored by the government as a result.
This stemmed from issues like the collapse of council-owned firm Robin Hood Energy in 2020, and the unlawful spending of millions of pounds of ringfenced cash from the council's housing revenue account (HRA).
Image source, Nottingham City CouncilAlex Smith
BBC News Online
Hello and welcome to our live coverage of Nottingham City Council, which has declared itself effectively bankrupt.
The authority has issued a report under section 114 of the Local Government Finance Act 1988.
It means it cannot deliver a balanced budget for this year and will stop spending other than on services it must provide by law.