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Council considers hiring specialist accountants

Huw Oxburgh
Local Democracy Reporting Service
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The council could explore options for receiving extra support

East Sussex County Council is considering hiring specialist accountants to help it deal with financial difficulties and potentially apply for government support.

Councillor Nick Bennett, lead member for resources and climate change, will decide on Tuesday whether to commission a £40,000 review by the Chartered Institute of Public Finance and Accountancy (CIPFA).

The council faces a potential deficit of more than £37m in the 2026/27 financial year.

In a report, officers said a CIPFA review would likely be required should the council approach the Ministry of Housing, Communities and Local Government (MHCLG) to explore options for Exceptional Financial Support (EFS).

The council has not yet formally agreed to seek EFS, reports the Local Democracy Reporting Service.

A council spokesperson said: "CIPFA have been approached to undertake their assurance review early, to provide the council with a report that will support the work that the council may need to undertake with MHCLG.

"If EFS proves not to be required, or an option, the CIPFA review will provide external assurance as to the actions the council is taking to address the financial challenges the council faces."

A CIPFA document says the team would work with the council to draw up an improvement plan after assessment.

Officers say the review's findings would also be used to inform the county council's annual budget-setting process.

The proposal comes amid some significant financial uncertainty for the council.

The report said the upcoming comprehensive spending review and potential changes to grant funding could impact the authority's finances.

EFS could help by allowing the council to borrow money to fund everyday services - something councils are not usually allowed to do.

Normally, councils can only borrow money for long-term investments, like building schools or buying equipment, not to cover day-to-day costs like wages or energy bills.

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