- By Hugh Casswell & Dan Martin
- BBC News, Nottingham
Image source, Gerry Molumby
Nottingham City Council declared itself effectively bankrupt last year
Nottingham city councillors have approved cuts to jobs and services aimed at plugging a £53m budget gap.
Plans for the year from April include hundreds of job losses and cuts to social care and youth services.
A review of libraries is also planned along with a council tax rise of almost 5%.
The Labour-run authority has blamed a reduction in funding from central government, rising demand for services and high inflation.
The public gallery was packed for the budget meeting
The government appointed commissioners to help run the council in February.
Changes were already being overseen by a government-appointed board following the collapse of council-owned Robin Hood Energy three years ago, but commissioners now have direct decision-making powers.
Council leader David Mellen said councillors voted “with great reluctance”.
“Nobody was pleased to vote in favour of this budget, nobody thought it was going to be great for the communities they represent,” he said.
“It was under duress. It wasn’t a freedom of expression. It was a need to do the responsible thing for the sake of the services run by Nottingham City Council.”
The authority has also been given special permission to fill some of the budget gap through a process known as “exceptional financial support”.
Rather than be provided with a cash grant, the council will be loaned money which it will have to pay back by selling assets over a number of years, potentially raising £66.1m to fund day-to-day services.
A spokesperson for the Department for Levelling Up, Housing and Communities (DHLUC) said: “Councils are ultimately responsible for their finances and will see their overall funding for the upcoming financial year increase to £64.7bn – a 7.5% increase in cash terms.
“The government has also provided Nottingham City Council with further financial flexibilities so it can balance its budget and deliver vital services.”
Keiren Thompson, founder of a youth club in Bulwell, said: “We want to steer young people in the right direction but without the resources and the funding we can’t make that happen.”
William Turner is a seasoned U.K. correspondent with a deep understanding of domestic affairs. With a passion for British politics and culture, he provides insightful analysis and comprehensive coverage of events within the United Kingdom.
