Northamptonshire councils get more than £10m of extra support

West Northamptonshire Council is selling the Evelyn Wright care home in Daventry to raise funds

Two councils in a county will be receiving millions of pounds of "exceptional financial support" from the government.

West Northamptonshire Council and North Northamptonshire Council will receive more than £10m between them.

The government announcement means the authorities can use loans or proceeds from assets for day-to-day expenditure.

The figures for Northamptonshire were among the lowest on the list of 19 councils that will receive the funds.

The government said the 19 councils have been flagged as needing exceptional financial support to "manage financial pressures".

The list of councils included areas such as Birmingham, Bradford and Nottingham.

North Northamptonshire Council leader Jason Smithers said the money will help the council

West Northamptonshire Council will receive £6.6m of extra support and North Northamptonshire Council will be given £3.9m, which is the lowest amount being given to any of the authorities.

Birmingham will receive £1.3bn.

The allocations - technically known as capitalisation directions - allow authorities to sell off assets such as land or buildings or take out government loans to finance day-to-day expenditure.

The assets that the councils have sought to sell off have included the Evelyn Wright care home in Daventry and the old St John Ambulance building in Thrapston.

Jason Smithers, a Conservative councillor and leader of North Northamptonshire Council, said: "The extension of this funding is welcome and will support North Northamptonshire Council in the ongoing delivery of an effective and efficient council.

"This was not a request for new support, but continuation of existing funding that was already approved."

Jonathan Nunn said extra funds would be used to "transform" children's and SEND services

Jonathan Nunn, a Conservative councillor and leader of West Northamptonshire Council, said: "We specifically applied to carry over unspent capital funds from last year and change the purpose for which they are earmarked.

"Our intention is to undertake a number of actions, which will help transform and improve our children's and SEND services and therefore reduce the cost and pressure on the council's finances."

Both councils have forecasted budget overspends for 2023-24, which were mostly contributed to funding for the Northamptonshire Children's Trust.

Both authorities were able to set balanced budgets for 2024-25, but have warned of significant funding gaps in the future if their financial situations do not improve.