Wirral Council in England is in dire financial straits and may face bankruptcy without government intervention. The council's finance chief warns that they are 'highly likely' to issue a bankruptcy notice if they don't receive an emergency £40m bailout. The council is already over budget by £21.5m and projects a £36m deficit for the next financial year. They are planning to freeze spending, limit hiring, and issue redundancy notices to address the crisis.
Wirral Council is preparing to ask the government for an emergency £40m bailout as the local authority's finance boss warned it is “highly likely” the council will have to issue a notice declaring effective bankruptcy if it doesn't get the support. A new report said the council “faces a critical financial position.
” He said previous actions taken by the council including a spending freeze from September, using money generated from property sales and contingency funds had helped but not eliminated the council’s financial problems, adding: “The current forecast financial position is not a sustainable position going forward and will therefore require additional support to resolve.
BANKRUPTCY FINANCE LOCAL GOVERNMENT UK EMERGENCY
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