Gloucester City Council has written off almost £1 million in debt over the past two years, highlighting significant financial challenges for the local authority. The council, recently granted a £15.5 million bailout loan by the Government, disclosed that a total of £881,017 could not be recovered.
This sum includes £576,629 in commercial property debts and £304,388 owed through council tax, business rates, and other sources. The figures emerged following a query by Conservative Councillor Andrew Gravells (C, Abbeydale) during a cabinet meeting, where he expressed shock at the scale of the write-offs.
“These are staggering amounts. How on earth were they allowed to build up like this?” Gravells questioned. “The administration needs to get a grip on all of this. I will be asking for a lot more information. It’s just not good enough, especially as we’re already facing a massive financial crisis and every penny counts.”
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In response, Resources Cabinet Member Declan Wilson (LD, Hucclecote) explained that debts are only written off after all recovery options have been exhausted. “All of these amounts were fully accounted for in the bad debts provisions, which are reviewed annually based on the age and level of outstanding debts at year-end,” he said. “For council tax and business rates, only the City Council’s share is included in these figures.”
The Liberal Democrat leadership maintains they are addressing the inherited financial difficulties from the previous Conservative administration. As part of the recovery plan, the council intends to sell assets to repay the exceptional financial support provided by the Government.