Financial woes being faced by other local authorities are not yet having a direct impact on Lichfield District Council, a cabinet member has said.
Birmingham City Council is among those currently facing huge challenges, effectively declaring itself bankrupt last month.
Pressures on the rising cost of social care have also been raised by Staffordshire County Council in recent years.
But Cllr Rob Strachan, cabinet member for finance at Lichfield District Council, said there had not been any knock-on effect on the local authority’s own position at this stage.
He told a cabinet meeting last night (10th October).
“We as a shire district council are not exposed to some higher risk areas, particularly in adult and children’s social care and the exposure our friends at county have on issues around roads, both of which are hugely expensive.
“In terms of the extent to which we’re being lent on by neighbouring authorities to support them in their ambitions, I’m not aware of anything at the moment so they are not affecting us.
“We are alive to risks that may come out of the woodwork going forward though, but the real woes we’re seeing in top tier authorities are being caused by the frankly extraordinary financial demands they are facing.
“It is a huge relief we don’t have those direct pressures.”
Cllr Rob Strachan, Lichfield District Council
Cllr Strachan said that while he had “sympathy” with other councils facing challenges, he warned changes to local government funding could alter Lichfield District Council’s own position.
He said:
“We have sympathy, but it may be that it wains if financial reform comes down to take from shire districts to give to top tier authorities, particularly given the impact of us losing even £1million is far greater than would necessarily fill the pot at the county council for example.
“But it may be something we need to be vigilant to further down the line.”
Cllr Rob Strachan, Lichfield District Council
