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East Riding Council May Need to Continue Using Cash Reserves

There are warnings that East Riding Council is going to have to make more savings if it is to continue to balance it's budget.

An update to the council's cabinet says the authority will end the financial year with a balanced budget, but only after using just under four million pounds of it's reserves.

Councillor Nigel Wilkinson says that can't continue.

The authorities director of finance says it will take time to introduce further savings and it's likely that it will need to continuing using it's reserves in the immediate future.

Julian Neilson told the council's cabinet that the authority will be able to balance it's budget this year by using nearly four million pounds of it's reserves and he says that situation is likely to continue next year.

In September the authority warned of a "severe" financial situation as a result of higher than expected inflation, wage increases and spiralling adult social care costs however in it's most recent update East Riding Council says it's seen a five and half million pound improvement in this year's budget.

 

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