Posing a fresh financial headache for the government, councillors in Surrey have requested that ministers “write off” £1bn in debt held by troubled Woking borough council to enable a merger between the county’s 12 local authorities.
The details of Surrey’s request for a debt write-off came in a letter by the county council’s Conservative leader, Tim Oliver, to Rayner’s department late last week ahead of a deadline set by the government for areas that would form the first wave of reorganisations.
Local elections are due to take place in 21 county council areas in England in May, but at least 12 are expected to request a delay from ministers to allow them to push forward with their merger proposals.
Dubbed “mega councils”, the cornerstone of Labour’s devolution agenda to reorganise local government has come under fire after it emerged half of the county councils due to have elections in England this spring could ask to have them postponed.
Surrey councillors ask ministers to ‘write off’ Woking’s £1bn debt Taxpayers asked to shoulder burden as beleaguered council expected to merge with neighbouring authorities.
