Cheshire East Council could face 'effective bankruptcy', report warns

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Cheshire East Council could face 'effective bankruptcy', report warns
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There are serious concerns about the 'financial stability' of Cheshire East Council, a review says.

The review conducted by senior councillors and officers from other authorities was critical of many aspects of Cheshire East’s operation

Members of the review team spoke to about 165 people, including councillors, officers and residents in March, and reviewed key documents provided by the council.The report said that in 2023/24 the council had used £11m of its reserves to set a balanced budget, with £20m needing to be saved in 2024/25.

A section 114 is when a council cannot commit to any new spending, and must come back with a new budget within 21 days that falls in their spending envelope.She said her party had "consistently raised concerns about the fiscal sustainability of Labour-led Cheshire East Council".

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