A council whose auditors identified “significant weaknesses” in its financial practices has announced that its finance team is committed to resolving the highlighted issues.
A report revealed that Cumberland Council had considerably overspent and found deficiencies in its financial oversight.
The council’s Labour deputy leader, councillor Lisa Brown, noted that finance staff have been “operating under increasing pressure” due to a heavy workload.
The opposition Conservative group criticized the administration for “appalling financial mismanagement”.
Brown explained that after the formation of Cumberland Council in 2023, the finance team was required to manage multiple accounts from previous authorities, adding significant strain on staff.
“We receive reassurances through various briefings and meetings that this is being addressed,” she stated.
Councillor Mike Johnson, leader of the Conservative group, asserted that the report highlighted “appalling financial mismanagement”.
He mentioned that the council has a “deficit” in its budget—referring to the £23.439m of exceptional financial support (EFS) it intends to use in the upcoming financial year.
This provision permits the council to borrow and liquidate assets to finance daily operations, which is typically not allowed for local authorities.
When asked if the ongoing dependence on EFS was troubling, Brown replied that it should be viewed in light of the recent restructuring of local authorities in Cumbria, which incurred initial costs, and emphasized that the council would achieve savings going forward.
