Bristol City Council could be forced to issue a section 114 notice in future years if it is unable to cut its dedicated schools grant deficit, a senior officer has warned.
Despite higher tax income and lower spending on energy support, the government has less fiscal headroom than any in recent years, the Office for Budget Responsibility has said.
The Scottish Government deficit fell at a faster rate than the rest of the UK last year, fuelled by a rise in oil revenues, according to the latest Government Expenditure and Revenue Scotland report.
The London Borough of Croydon has issued a second section 114 notice after it was unable to make sufficient cuts to balance a forecast £66m overspend in its budget this year.
The government may need to rethink its fiscal policy strategy to account for economic shocks happening more frequently than previously assumed, according to the Office for Budget Responsibility.
Low funding and dwindling reserves mean a local authority in Derbyshire risks considering an unbalanced budget by 2021-22, councillors have been warned.
