Slough Borough Council told to speed up recovery after report

Slough Borough Council has been trying to raise funds since effectively being declared bankrupt in 2021

The government has told a council it needs to speed up its efforts to recover from effectively going bankrupt.

A new report said some progress has been made at Slough Borough Council since 2021, but that there are still significant challenges in areas such as human resources and IT.

The council said it was committed to making a full financial recovery.

Commissioners have been monitoring the local authority for 18 months.

The Berkshire council declared the dire financial situation after it discovered it was £760m in debt.

This is the third report into the council after government commissioners were put in charge in 2021.

The latest findings noted improvements in areas such as scrutiny of decision making and financial oversight.

It also recommended a refresh in vital corporate services such as IT and HR, which have not been "fit for purpose" and have held the council back.

Slough increased council tax in 2023 and hopes to raise more funds through asset sales

Council chief executive Stephen Brown said: "We have come a long way. Our asset sales are progressing well, we have a balanced budget for this year and last year we even managed a small underspend.

"Despite this, our financial position remains challenging though we are all committed to Slough, our town and its residents and we will now continue to work towards financial recovery, furthering the significant progress which has already been made."

The council increased council tax earlier this year and hopes to raise £200m by the end of the 2023 through the selling of assets.

Leader of the council Dexter Smith said: "We recognise there is still a way to go for our recovery, but we are committed to driving the changes needed so the council is sustainable, open and able to focus on the priorities of residents."

Minister for local government Lee Rowley responded to the report in the House of Commons, and said it had given him "cautious optimism that things are beginning to move in the right direction".

But in a letter to the council he added: "Over the coming months, I do need to see a clear quickening of pace of improvement, evidence of further implementation, clear change being embedded throughout the Council's business model and greater grip on the financial position."