Warning that Devon, Kent, Bradford, Guildford, Hastings and Southampton all struggling to balance the books
, the rise in a requirement for temporary accommodation has pushed the council into an “incredibly precarious” financial position.
Simon Jones, deputy chief finance officer, warned that if the position “is not immediately addressed” and the costs continue to grow at the current rate for temporary accommodation, the council “will have no option other than to issue a section 114 notice”.: “The ever-increasing costs of temporary accommodation means that to provide housing for everyone we have a duty to house has increased from £730,000 in 2019 to £4.
“Because of the huge increases in housing costs, there are going to be difficult decisions that have to be made across the whole council as we continue to try to balance our budget.”, the city council has commenced “informal discussions” with the government over its challenging financial situation. A report presented to councillors warned that a failure to take actions during the current financial year “would lead to a large forecast overspend, which would mean the council being financially unsustainable and the issuing of a S114 notice”.The Local Government Association has estimated that local authorities have been hit by a £15bn, or 60 per cent, real-terms reduction to core government funding between 2010 and 2020.
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