SHEFFIELD Council was left with a £13.4 million surplus in its accounts after underspending during the last financial year - 25 per cent more than forecast.
Officials at the authority had estimated there would be £10.7m of leftover cash but the actual total left by the old Lib Dem administration is £2.7m higher.
Details have been revealed in the 2010/11 budget report, which is being presented to a meeting of Sheffield Council’s new Labour cabinet on Wednesday.
Among the reasons for the increased surplus was a £1.6m underspend on recycling due to extra materials collected and sold.
Coun Shaffaq Mohammed, opposition Lib Dem leader on Sheffield Council, said: “Thanks to our sound financial management, the council has a £13,400,000 budget surplus in the last financial year. The extra money should be used to protect front line services and keep council tax to a minimum over the next year.”
The predicted £10.7m surplus was used to offset some of the £84m cuts which are being implemented during 2011/12.
A fortnight ago, the Labour administration revealed that £7m of savings planned by the Lib Dems from renegotiating contracts with firms providing some council services were in jeopardy and the extra £2.7m could help cover any shortfall.