Bury Council Faces £43.5m Covid Financial Crisis Over Three Years
Pandemic Slams Local Finances
Bury Council is bracing for a massive £43.5 million hit over three years thanks to Covid lockdowns and restrictions. The pandemic has drained income and ballooned costs, leaving the local authority scrambling to plug gaps.
From £10m Reserves Boost to £21m Budget Black Hole
Just a year ago, the council was on a high, boosting reserves by £10 million and unveiling multi-million pound plans to fight the climate emergency and support vulnerable residents. Now, councillors are set to face a £21 million shortfall for the 2021/22 financial year.
Half of that gap will be filled by dipping into reserves, but the other half means deep cuts to council services.
Leader Sounds Alarm But Promises Recovery Plans
“Covid has had a significant effect on our budgets, and will continue to do so for years to come,” said Councillor Eamonn O’Brien, Bury Council leader.
“This year alone, Covid has cost us £46 million. The Government has chipped in £36 million, but that still leaves a £10 million shortfall. We expect a further £33 million gap in the next two years.”
“Despite these challenges, we’ll be announcing solid measures to help Bury’s economy and citizens bounce back as lockdown eases.”
“Last year, topping up reserves was the right move—it will help us manage cuts without sacrificing our core priorities. The road ahead is tough, but we’re determined to build a stronger future.”
Deep Cuts on the Horizon
- Adult Social Care: Biggest savings of £9 million over four years via service changes and a focus on community care through the One Commissioning Organisation.
- Children’s Services: £1.2 million saved by reviewing contracts and cutting vacant posts.
- Council Transformation: £5 million in cuts from closing buildings, pushing ‘digital first’ self-service, and encouraging local self-care.
- Other Savings: £1 million raised by shutting civic venues, dimming streetlights at night, and streamlining waste collection.
