Almost half of councils in England risk falling into bankruptcy without action to address a £4.6bn deficit amassed under a Conservative-era policy, the government’s spending watchdog has warned.
In a damning report, the National Audit Office said that rising pressure on public services and repeated delays to reform the funding of local government meant town halls were in an “unsustainable” financial position.
It highlighted failure to reform the funding of special educational needs and disabilities (Send) as one of the most worrying areas where the resources were being outstripped by spiralling costs.
The previous government had introduced a scheme known as the “statutory override” which allowed councils to temporarily keep Send…