Council faces review over 'slow' financial progress

A council which effectively went bankrupt is facing further scrutiny after a minister criticised "slow progress" of its financial recovery.

Local government minister Alison McGovern said Slough Borough Council lacked "resilience" and "strategic focus" and would be the subject of a new external review.

The authority has been the subject of a government review into its finances since 2021, when it announced a £56m deficit.

Dexter Smith, leader of Slough Borough Council, said the review would offer a "fresh perspective" into its progress.

In a written statement to parliament, McGovern said "tentative" progress made by the council since November 2024 did "not appear to have been sustained".

"I am concerned with the pace of improvement," she said. "Progress remains slow and the council lacks resilience to deal with unforeseen changes".

She said the authority was far from where the government expected and was still experiencing "significant budget challenges".

The council has been granted Exceptional Financial Support (EFS) from the government - a type of borrowing to help local authorities fund day-to-day spending - every year since 2018.

In January it sold off a derelict bus station and closed its headquarters on Fridays to save money.

McGovern said the new external review would identify whether it needed more support make "immediate progress".

It will be led by Dame Mary Ney, who ran Royal Greenwich Borough Council from 2000-2014.

In a statement, Smith admitted the authority's progress had been "slower than any of us would have wished for".

"We have made small but vital improvements including a robust and comprehensive transformation programme," he added.

"We believe this review will offer fresh perspective on the council's progress under intervention.

"It is an opportunity to address the progress we have made, the work still to be done and provide an opportunity for renewed momentum which will benefit us, but most of all our town."