Government funding approved for Thurrock Council

Thurrock Council has had a request for more than £68million of Government funding approved.

The council requested exceptional financial support as it fights a £1.3billion debt mountain accrued after a catalogue of bad investments.

Last week the council had its budget for 2024/25 approved by councillors. It was achieved by the sale of assets, the divestments of investments, a 7.99 per cent increase in council tax and £90million in cost cutting measures.

It was also dependent on £68.6million of exceptional funding from the Government.

Confirming the funding in a letter to the council after receiving a third progress report from Government appointed commissioners, Simon Hoare, Minister for Local Government, said: “While I welcome the steps that have been taken thus far by the council overseen by the commissioners, it is important to recognise that there is still significant work to be done given the extent of the financial issues.

“Government’s view continues to be that councils requiring exceptional financial support, particularly where it is apparent that several concurrent years of support will be needed, should take all possible steps locally to manage their budget pressures and restore long term financial sustainability.

Mr Hoare added: “The Secretary of State has considered very carefully the council’s position including the interest of local people in Thurrock, and the need to provide sufficient stability to the council and to make sure that service delivery, especially for the most vulnerable citizens, is not disrupted.

“With respect to the financial year 2024-25, the Secretary of State is minded to approve a capitalisation direction of a total not exceeding £68.6 million.”