Sheffield Council predicts multi-million pound black hole due to coronavirus

Sheffield Council has called on the government for more support after predicting it will spend £70.5 million on tackling the coronavirus.
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The coronavirus pandemic has increased councils’ spending on services while income has been lost from things like parking.

Central government has so far announced a total boost of £3.2 billion to local authorities across the country, of which Sheffield received £18m in the first round and expects a further £18m from the second.

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However, council leaders say it is not enough as Sheffield forecasts its coronavirus spending at about £70.5m - leaving a gap of £34.5m between that and what the government has provided.


A council spokesman said: “The coronavirus pandemic has affected all aspects of our lives and as such we have seen a significant increase in spending to deliver a range of vital services to our communities, helping to keep our residents safe and well during this time.

“We have already received £18m from central government to help cover these costs and were pleased to see a further £1.6bn announced for local authorities by the government last week. If this money is distributed in the same manner as before, we hope to receive an estimated further £18m in Sheffield.

“However, this second package alone will of course still not be enough to cover the total cost of necessary spending.

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“I therefore urge the government to agree further funding for local authorities to cover the full costs related to covid-19, and ensure that families, businesses and communities are not hit even harder during and after this challenging and uncertain time.”