I am writing to request a clear, detailed explanation of how the Council is managing its current debt position and what specific measures the Liberal Democrat administration is taking to ensure RBWM does not enter a Section 114 situation.
I am asking for direct answers to the following points, and I would appreciate a response that avoids generalities or references to previous administrations. My concern is with the current financial strategy and the decisions being made now.
1. Current debt position Please provide:
• The total outstanding debt held by RBWM as of the most recent reporting period.
• The annual cost of servicing this debt (interest + principal repayments).
• The proportion of the Council’s annual budget currently consumed by debt servicing.
2. Repayment strategy I would like to understand precisely how this debt is being paid down.
• What is the planned repayment schedule over the next 5, 10, and 20 years?
• What assumptions underpin this schedule (interest rates, refinancing, asset sales, revenue growth)?
• Are any repayments dependent on future borrowing, restructuring, or refinancing?
3. Risk of insolvency Many councils across the UK have issued Section 114 notices due to unsustainable debt, rising service pressures, and structural budget gaps.
Please explain:
• What specific modelling RBWM has undertaken to assess the risk of issuing a Section 114 notice.
• What thresholds or indicators the administration monitors to determine whether RBWM is approaching financial distress.
• Whether any external auditors, consultants, or oversight bodies have raised concerns about RBWM’s financial resilience.
4. Measures taken by the Liberal Democrat administration I am requesting a clear list of the actions the current administration has taken to stabilise RBWM’s finances.
Specifically:
• What concrete steps have been taken to reduce the structural deficit?
• What cost saving measures have been implemented?
• What revenue raising measures have been introduced?
• What changes have been made to capital spending, borrowing, or asset management?
5. Transparency and public accountability Residents deserve to understand how the Council intends to remain financially solvent.
Please confirm:
• Whether the administration has published a medium term financial plan that clearly sets out the path to sustainability.
• Whether the Council has conducted any public consultation on financial risk, service prioritisation, or debt reduction.
• Whether the administration intends to publish a plain English explanation of RBWM’s financial position for residents.
6. Assurance of long term stability Finally, I would like a direct statement from the administration addressing the following:
• How will RBWM avoid bankruptcy?
• What guarantees can the administration provide that essential services will not be cut due to financial pressures?
• What is the long term plan to ensure RBWM becomes financially resilient rather than merely avoiding crisis year to year?