Southend council told 'stringent' cutbacks to avoid bankruptcy

Southend's council has been told it must make "stringent" cutbacks to avoid bankruptcy within three years.

The Labour-led council has a £14m deficit and could have to switch off street lights at night to save money.

Paul Collins, Liberal Democrat councillor with responsibility for asset management and inward investment, said the situation was "bleak".

The coalition-run unitary council has blamed inflation and rising bills for a large part of the deficit.

Mr Collins made the warnings while discussing a finance report for 2022-23 during a Place Scrutiny Committee meeting.

The Conservatives are the biggest party on Southend-on-Sea City Council, but it is run by a coalition of Labour, Lib Dem and independent councillors.

Tony Cox, leader of the Conservative group, asked if the council could rule out switching off street lights at night, like Essex County Council had.

Mr Collins said: "I'm afraid I can't give you a categorical 'yes' to that."

He said nothing could be ruled out and that nothing had been decided, reported the Local Democracy Reporting Service.

"I would be very determined not to do that, but that's not to say we cannot," he said.

The top five floors of the Civic Centre in Victoria Avenue are due to be shut to save money, as staff continue to work from home following the Covid lockdown.

However, it emerged the council may move out of the building completely.

Mr Collins said: "Southend Council will have a building and staff in the city over the next many decades.

"Where it will actually be is a good question."

He added: "We are very conscious that running the civic tower is very expensive and we can do things in a different way and a better way for the residents and for the people working for us."

The 14.6m forecasted overspend is about 4.4% of the council's gross expenditure budget of about £332m for 2022-23.

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