Cheshire East’s governmental financial support confirmed

Cheshire East’s plea for Exceptional Financial Support has been approved by the Government.

The Ministry of Housing, Communities and Local Government (MHCLG) has confirmed, in principle, that Exceptional Financial Support (EFS) up to £25.3m, will be provided to enable the council to balance the budget shortfall for 2025/26. 

The announcement comes ahead of the council’s budget setting meeting on 26th February 2025. The draft budget, as published, includes the impact of the requested EFS. 

The announcement confirms that the council can use all of the previously approved EFS for years 2023/24 and 2024/25 – a total value of £17.6m – to cover the forecast funding shortfall in the 2024/25 financial year. 

The council states “The ability to access EFS will help the council deal with immediate pressures and establish longer-term financial sustainability through investment in transformation and improvement. While this reduces the immediate pressures in the short term, the support is not in the form of cash, it does bring additional costs to following years, as set out in the council’s draft medium-term financial strategy 2025 to 2029.”

Of course, the council’s predicament will continue to worsen as long as our money continues to be frittered on unneeded and unwanted vanity projects such as the ones currently haemorrhaging funds in Crewe. 

The magicians at Cheshire East

The council added: “This is only a short-term solution, and it will be important to continue to find additional funding, income and efficiency savings to reduce the need to use this support over the coming financial year.”

Of course, they’re now eagerly eyeing up the possibilities that devolution will bring – even more public money for them to waste.

Councillors will vote on the 2025/26 budget and the four-year financial strategy (the acronym F.F.S.! is remarkably apt) at the Full Council meeting on 26th February.