All spending stopped at cash-strapped council

All spending which is not "absolutely essential" will be stopped at Wolverhampton City Council as finance chiefs struggle to cope with a growing cash flow crisis.

Councillors at tomorrow's cabinet meeting will be asked to approve a range of emergency measures as leaders warn the authority faces insolvency within two years if they cannot turn the situation around.

Other measures include:

  • Implement 165 savings proposals currently being consulted on sooner than expected
  • Find another £5million of savings on top of that already identified in 2014/15
  • "Faster and deeper" cuts than those previously proposed
  • Reducing the council's redundancy policy to the legal minimum


Cash crisis sparks 'insolvency' warning for Wolves council

Emergency action is needed to prevent Wolverhampton City Council becoming officially broke within two years, finance chiefs have revealed.