Properties purchased by Wirral Council as investments have experienced a decline in value exceeding £9 million. This revelation comes as the council faces a severe financial crisis, prompting plans for a £40 million government bailout and warnings of potential bankruptcy. An audit report highlighted significant financial weaknesses, necessitating urgent action.
Properties bought by Wirral Council as investments have seen a drop of more than £9m in value since the local authority bought them. These properties include the likes of Birkenhead ’s Vue Cinema and Europa Centre which had previously seen a drop in value. Auditors Grant Thornton’s annual report on Wirral Council’s financial accounts was published on January 6 ahead of an emergency meeting to be held next week on January 14.
” Issues raised by auditors about the council include a black hole in school finances that is projected to grow, issues around SEND services and the council’s work to comply with an improvement notice, placement costs for children in care, and councillor oversight. One relates to investments the council has made in recent years as the council’s commercial properties funded through borrowing “have significantly reduced in value which creates financial risk to the council.
FINANCE AUDIT BANKRUPTCY LOCAL GOVERNMENT WIRRAL COUNCIL
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