Nine councils within the Special Interest Group of Municipal Authorities (Sigoma) have warned they could issue a section 114 notice by 2025.
Research by Sigoma, which represents 47 urban authorities across England, found that one in five unnamed members believe they may have to issue a s114 notice by the end of 2024-25.
One in 10 or five councils could issue s114 notices during the current financial year.
Sigoma’s research warned: ‘Many councils said this was the first time they were having to consider these drastic actions due to their lack of cash reserves.’
It is hoped the latest warning over the dire state of councils’ finances could force Whitehall into more radical action to support town halls.
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If this article was of interest, then check out our feature, 'Preventing future Section 114 notices'.
