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Home Politics

Shropshire Council urged to list plans to avoid bankruptcy

The Green Party leader has called on Shropshire Council to provide workable strategies to avoid a section 114 notice for bankruptcy

Central Bylines Reports by Central Bylines Reports
15-09-2025 17:43
in Politics, West Midlands
Reading Time: 5 mins read
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The Guildhall, Shrewsbury image by Richard Kelly. CC BY-SA 4.0

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An opposition leader has called on Shropshire Council to provide a list of actions it can take to help it get out of its financial mess. The authority’s position has got so bad that, unless things don’t improve by the end of March, a section 114 notice will be issued, non-essential spending will be frozen and a government-appointed commissioner will be called in.

The council’s cabinet declared a financial emergency on Wednesday 10 September, with all party leaders agreeing to work together in partnership to try and improve the picture.

Councillor Dean asks for concrete ideas

However, Councillor Julian Dean, leader of the Green and Progressive Independents, said that the council needs to have “a list of actual items that are required in order to get to that point that we are convincing civil servants and the people of Shropshire that there is actually a plan”.

“We are in the lap of the gods when it comes to a section 114,” said Councillor Dean.

“A family going into crisis or a severe weather event could tip us over that line. What we are in part doing here is trying to set up a convincing story of the short-to-medium-term future, such that should we declare a section 114, we retain as much power as possible.

“We have to recognise that the precept is extremely unequal across the county and perhaps an equalisation, if it was done with involvement of communities and they can see a direct benefit in terms of the delivery of services that apparently are not being delivered very well, can help.

“We may need to talk about a three-weekly bin collection. But it would be really good to hear some of these actual proposals that we need to talk about.”

Any ideas from Reform UK?

Councillor Dean also asked what Reform UK’s suggestions were. “All we’ve heard is that social care services should be run down and made poorer, and people who are disabled shouldn’t have access to en-suite toilets,” he said.

“And since then, the only thing I’ve seen is an objection to a mural to deal with the disgusting state of the railways.”

Councillor Brendan Mallon (Reform UK, Tern) was quick to refute that.

“When it comes to health and social care, we are absolutely not suggesting any reduction in social care should be made in order to get us out of this situation,” he said.

Regarding the mural, which Shropshire Council said will be painted to transform Shrewsbury station’s railway tunnel, Councillor Mallon said: “It’s a minor amount of money; however, it is one of the things we should be looking at”.

Council plans not ready but section 114 imminent

Council Leader Liberal Democrat Councillor Kidd told cabinet that she had wanted everything, including the council’s action plan, to be ready for today’s meeting, but that had not proved possible. She also said that the council’s Corporate Peer Challenge report will be presented to full council.

“It said we’re managing to deliver some good services and we need to be able to maintain that, but it also told us that we were within a hair’s breadth of a [section] 114,” said Councillor Kidd. She added: “A group of people came in July and looked at it all and reported back to us on 17 July. That was a snapshot then. We are now in September and we now have to act.”

An improvement board, consisting of several independent people and cross-party involvement, will soon be set up. “We had an improvement board in children’s services when needed, we knew they work, we’ve got good practice to fall back on,” said Councillor Kidd. “I think that is the only way we can progress and we don’t lose those services that people want and require but we don’t have to have in the eyes of the law”.

Public confusion over council funds

Councillor Kidd said: “There is a real confusion with the public because they see us spending capital money and think we’ve got a lot of money. We have capital from selling properties and from developments through CILs [Community Infrastructure Levies]. That cannot in most cases be used to prop up the day-to-day budget. The day-to-day budget has to be funded by the grant coming in from government, as small as it is, and the council tax.

“It’s a grim day in many respects. But it’s not like there aren’t any silver linings, because there are.”

She concluded: “We need to do things in a different way and work properly in partnership with people. And the council has not been doing that in a good way. I did not become leader to shut things down, I really didn’t.”


A Local Democracy press release by Paul Rogers (edited)

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