Cheshire East is facing a predicted shortfall of more than £15.2m in 2027/28 – and this is after proposed savings of £13.3m have been taken into account.

A report to next week's meeting of the cabinet calls on all councillors and departments to 'focus on further transformation work and savings ideas generation work to reduce down the predicted shortfall in funding'.

The council only managed to balance its books this year by using £24.995m exceptional financial support from government by way of an 'in-principle' capitalisation direction.

The report from the council's finance department states: "This is not sustainable and needs to be addressed in this year for the council to become financially sustainable."

It continues: "The forecast gaps in the later years must be planned for as part of the business planning process for this year, as well as the council learning to live within its means by delivering all planned savings and containing cost increases within the approved growth in 2026/27.

"To do otherwise will increase financial pressures in future years and will widen the financial gaps to be closed."

The report says the council will undertake a comprehensive programme of engagement to inform the medium term financial strategy (budget) for 2027/28 to 2029/30, beginning in August and building through to a formal consultation period later in the year.

The cabinet meeting takes place on Thursday, July 2, at 10.30am at Delamere House in Crewe.

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