Eastbourne council reduces emergency borrowing by £5.7m but opposition argue situation 'remains perilous'

To deal with Covid, Eastbourne Borough Council established a recovery and stabilisation programme to identify savings and efficiencies to offset the acute pressures on the budget.

The cabinet met on Wednesday (July 13) and it was revealed the council has reduced its emergency borrowing requirement by £5.7 million through this programme.

Council leader David Tutt said: “At the time we took the decision to do whatever it required to help our town get through the worst of times, mindful that we also had to be ready to activate our plan for recovery and stabilisation, and it was right that the government recognised our success in doing so.

“Through savings, efficiencies and capital receipts we have achieved a huge reduction in our requirement for exceptional financial flexibility we were granted to address the issue of covid support, reducing it by £5.7 million.

“With the excellent progress we continue to make, it is also heartening and welcome news that our overall budgetary targets should be met without the need to market any assets that are likely to cause our residents concern.”

Councillor Stephen Holt, cabinet member for finance and deputy leader of the council, said: “We had to take some really tough decisions over the last two years, but it was only through this rapid and targeted action that we’ve been able to report this improving budgetary standing now.

“There is still much work to do but compared to other councils that also had to call upon the government for emergency covid support, we are in a much stronger financial position than most.”

However, the Conservatives argue finances 'remain perilous'.

Councillor Kshama Shore said: "It's not surprising that the council issue something like this. But the sad truth is that the town hall's finances remain perilous with low reserves and very high short-term debt. This situation simply can't be camouflaged as much as the Lib-Dems would like it to be.

"It is just staggering how our council leaders continue to exaggerate the effect of Covid on the finances and ignore the vast array of government support given, even listing such support as 'savings'.”

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