Labour urges action as Shropshire Council prepares to declare a 'Financial Emergency'
Shropshire Council's Cabinet is set to vote on declaring a "financial emergency" tomorrow, a move that the leader of the Labour Group, Councillor Rosemary Dartnall, says is an urgent and necessary response to years of dither and delay.
The council is grappling with a projected overspend of £35.169 million by the end of the financial year, and Cllr Dartnall is urging the new Liberal Democrat administration to take decisive action to prevent a Section 114 notice. Such a notice would effectively declare the council bankrupt and likely lead to direct government intervention and a severe reduction in services.
Years of Financial Failure
Speaking on the crisis, Cllr Dartnall did not mince words, placing blame squarely on the previous Conservative administration. "Shropshire Council’s financial crisis remains our most serious concern," she said. "This crisis has continued year-on-year with the Conservatives missing by millions savings targets they had promised."
She added that "every failure rolls forward," putting more pressure on future budgets. The Labour Group is now calling on the Lib Dems to protect council staff, whom she described as the council's "greatest asset."
"We all need to know how they will take control of the finances without loss of essential services," she stated.
Labour's Call for Change
To help navigate the financial turmoil, Cllr Dartnall has put forward several proposals on behalf of the Labour Group:
Cancel Councillor Pay Rise: She called for the cancellation of a 3.2% annual pay increase for councillors. While the saving would be relatively small at around £40,000, she said it would be an "important signal" to the public and staff.
Review of External Contracts: The Labour Group has long advocated for a full review of the "colossal £400 million" spent annually on external contracts. They want to see an "urgent review of all large contracts to make savings now."
Direct Employment: Cllr Dartnall criticised the council's reliance on agency staff, which she said is more expensive and leaves staff without key benefits like holiday pay and a pension. She called for all but "genuinely temporary positions" to be filled by directly employed staff.
In her final remarks, Cllr Dartnall pledged to work with the LibDem administration to "bring this crisis under control once and for all."
