Coventry City Council have warned that there could be 800 further job cuts and that it will be impossible to avoid this impacting on public services.
The City Council say it needs to find £26 million to balance its books next year, an increase from £14 million.
"It's clear that the scale and extent of government spending cuts to the public sector which was already unprecedented will need to be even bigger. It's very difficult for us to make detailed predictions at the moment, as the government won't give us any figures until just before Christmas.
"We're now looking at making some very painful decisions about our services and losing more posts at the Council than we originally anticipated."
The City Council have made more than £30 million of savings over the past two years and still ensured frontline services were protected, however Cllr Duggins says with the latest budget gap this will no longer be the case:
"Over the past two years we have made more than £30million of savings through our abc programme of reviews of our services. These have helped us protect frontline services and continue to protect vulnerable residents. But this approach will no longer be enough to deal with a £28million budget gap projected for next year."
The Council's pre-budget report will be discussed on the 11 December with final decisions including tax rates announced in February.
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