A council has reiterated a warning of potential “severe cuts” if it does not receive more funding. 

Growing financial pressure on Durham County Council means it must save around £22 million next year to balance its budget. 

The council is currently £64.1 million short over the next four years - a higher amount than previously forecast due to growing unfunded budget pressures, primarily in children’s social care and home-to-school transport.

Council Leader Amanda Hopgood said the local authority has continued to campaign for more support but is yet to receive a significant lifeline. 

She told a cabinet meeting today (Wednesday, September 18): “There is little cause for optimism at this stage that we will see the increases in funding that we desperately need based on all the noises that are coming out of the new government so far. 

“This council cannot be left in limbo and urgent action is required to address the urgent, immediate pressures.”

Leading councillors and officials have warned the council faces difficult decisions in managing its budget for next year and beyond. Local politicians say they have lobbied County Durham MPs and the new Labour government to increase the funding for councils. 

An updated report will be presented to cabinet members in December, setting out the latest proposed changes for 2025/26. 

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Richard Bell, cabinet member for finance, said: “We are working hard in the background to develop new savings proposals to help balance our budget next year, though the ability to avoid any impact on frontline service delivery is becoming more and more difficult to achieve.”

The Conservative deputy council leader also warned that “difficult choices are always going to be required” if the current funding system remains. 

Liberal Democrat Cllr Hopgood added: “Without further investment to help the council and the wider sector then cuts, and severe cuts at that, need to be made going forward and we will end up only being able to afford to deliver minimum levels of statutory services.”