Council warns it must close £30m funding gap to set a balanced budget

City of York Council has said it is tackling “one of the most challenging budgets in its history”, following more than a decade of cuts.

In a stark warning, the council has said financial pressure has now reached a “critical level”. It explains it needs to close a budget gap of about £30m while continuing to deliver essential services.

A spokesman for the council said: “Despite exploring all avenues for generating income, City of York Council must consider difficult cuts.

“The council is looking at income and cost-saving measures, including more efficient ways of working, some staff reductions, service reviews, and increasing charges or other ways to generate income. Proposals include reducing highway investment and streamlining parking charges.”

The council is now in the final stages of a public consultation on its finances and is asking people to provide their thoughts  to help the council balance its budget.

The budget consultation will conclude on 1 January 2025. In January 2025 the council’s executive will be invited to recommend a budget to council for approval in February 2025.

Debbie Mitchell, director of finance at the council, said: “This is a conversation we cannot afford to ignore. The financial decisions we make now will make sure we provide a balanced budget which is critical for the council to operate, and it is vital that all voices are heard.

“Now more than ever, we need residents, businesses, and partners to help us prioritise the services that matter most.”

Ian Floyd, chief operating officer, City of York Council, added: “The financial challenges facing local authorities are very significant, on the back of many years of reductions in local government funding.

“There will need to be significant decisions made to ensure the council can continue to deliver critical services.

“We are committed to listening to residents, businesses, and partners to help shape the future shape of the council’s budget. I encourage everyone to contribute to this important conversation.”