Hampshire and Kent County Councils Sound Alarm Over Looming Financial Crisis

Leaders of two of England’s biggest county councils have issued a stark warning to the Government: without urgent cash injections and drastic reforms, Hampshire and Kent could face bankruptcy within a year.

County Chiefs Demand Government Action to Avoid Disaster

Hampshire County Council Leader, Councillor Rob Humby, and Kent County Council Leader Roger Gough have jointly written to the Prime Minister, Chancellor, and Secretary of State. They outline the “unprecedented” budget deficits both councils face and plead for an immediate government bailout and a clear long-term financial plan.

Humby said: “We’ve been hit by more than 12 years of austerity, rising inflation, and soaring demand for vital services like adult social care. Our budgets are now at breaking point. We’ve cut to the bone, and there’s nowhere else to go without devastating the most vulnerable in our communities.”

He added that outdated laws from the 1940s and 1960s restrict councils’ ability to raise their own revenue. This leaves them reliant on limited government funding while facing relentless financial pressures.

Kent Council Leader Warns of ‘Collapse’ Without Major Reform

Roger Gough of Kent County Council said: “The extra cash we raise from council tax and business rates barely covers inflation. The massive growth in social care costs remains unfunded. This isn’t a short-term issue solvable with one-offs — it demands fundamental change.”

Gough urged the Government to:

  • Provide stable, long-term funding for adults’ and children’s social care
  • Fully fund social care reforms and special educational needs growth
  • Give councils greater freedom to set council tax and charge for services
  • Update legislation to allow local authorities to generate their own income

He warned failure to act could see “large parts of upper tier local government facing collapse.”

Urgent Talks Needed to Save Vital Public Services

Both leaders made clear they are prepared to enter formal discussions with government departments and auditors over their financial plight. But they called for immediate dialogue with Ministers and MPs to stave off a public services disaster in the South East.

Humby concluded: “We won’t stand by while these great counties sleepwalk into financial ruin. The time for urgent, meaningful government action is now.”

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