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Economic Development

Council's £1.5m budget hole could lead to cuts in essential services

Gloucester City Council said it could not 100 per cent guarantee frontline services would not face cuts

Gloucester City Council leader Jeremy Hilton speaking at a meeting in the council chamber(Image: Local Democracy Reporting Service / Carmelo Garcia)

Essential services including bin collection and street cleaning face potential cuts as Gloucester City Council grapples with a £1.5m financial shortfall.

Finance officials said the "challenging" predicament was due to the absence of audited or unaudited accounts stretching back to the 2021 cyber attack.

The local authority has been operating on manually compiled accounting records and financial reports following the cyber incident.

These documents informed assessments of the authority's financial wellbeing and underpinned crucial budgetary decisions under both the previous and current administrations.

However, the £1.5m overspend is believed to have been uncovered by the council's newly appointed finance chief, who has earned recognition for tackling the issue whilst operating under immense pressure.

The council has approved increases to parking fees, a comprehensive review of the authority's charges and an examination of revenue-generating opportunities, alongside reassessing the business strategies for Gloucester Guildhall, the city museum and Blackfriars Priory.

But Labour group leader Terry Pullen (L, Moreland) has asked for a guarantee that vital frontline services will remain protected.

"In view of the crisis facing this city and the £1.5m hole in finances, can you give us a guarantee that essential, fronline services will not be cut and not be affected?".