Nottingham City Council says it must urgently look at ways of saving money after announcing it is virtually bankrupt.

On Monday 18th December there is set to be a meeting, after the council’s Chief Financial Officer has issued a report under section 114 of the local finance act. There has already been around 500 jobs lost and the authority says that all ‘non essential spending’ is likely to be stopped.

Section 114 is a notice that is given by the councils chief financial officer to prevent expenditure. It comes from the local government act 1988.

Tom Jones, a 20 year old Nottingham resident, who uses Nottingham’s services said he was worried about the impact on services.

”I am devastated. I am Nottingham through and through and the thought of my city being declared bankrupt hurts. I use public services every single day and the idea of them potentially cutting these services doesn’t make sense to me. They’re non negotiable, essential services. There’s other things you can stop!”

There has been specific measures proposed by the council of Nottingham which include, removing council contributions to arts and cultural organisation and the removal of some libraries and care homes. As well as that, the ideology of digital only customer service has been spoke about in council meetings too.

  • 554 members of council staff have lost their jobs in recent weeks leaving families distraught at Christmas.
  • The councils funding has been cut by more than 40% since 2010
  • The councils money from the government has reduced by 97 million each year since 2013/2014.

Finley Troup, 47, is a user of many Nottingham City Council services, especially the libraries and is concerned at the current situation and feels they need to prioritise keeping certain things open more.

The Labour-run council says it intends to always be open and transparent with the public of Nottingham about the spending cuts.

 

It faces a potential 23 million pound overspend in the 2023-2024 financial year. This comes with a future halt to crucial, ‘non negotiable’ public services such as libraries, transport and much more. This all follows Birmingham’s 114 section notice in September after they reached the peak of their financial catastrophe.

”We are faced with extremely tough decisions over the coming months with our budget gap being the worst in living memory’,” said council leader, Councillor David Mellen.

The council has come out in a statement to the public and said that ”council workers and members are fully committed to continuing to work with the improved and assurance board and the department for levelling up, housing and communities to help the council rejuvenate and build for the future on good foundations.

”Me and my family are distraught. My wife is now having to pay all the bills and provide the presents”

James Owen, previous residential worker for the council for 12 years .

James was made redundant following the section 114.

Read more on the Labour Party representing Nottingham county council and their reaction to their 114 section here https://nottinghamlabour.org.uk/

The meeting is set to take place on Monday 18th December.