Local authorities in England and Wales warn finances at ‘breaking point’

More councils expected to fall into bankruptcy in near future as they face nervous wait over government funding

Local authorities in England and Wales have warned their finances are at breaking point" with more councils expected to fall into bankruptcy in future, as they face a nervous wait to discover their government funding this month.

Council leaders expect changes to annual funding arrangements will result in steep cuts for many local authorities, preventing many from balancing their books and providing basic services to citizens.