Star date: 18th June 2020

MASSIVE £42MILLION OVERSPEND COSTS OF VIRUS TO SALFORD COUNCIL

Salford has three new confirmed cases of coronavirus, taking the total to 970, as Salford Royal Hospital announced one new sad virus-related death.

Meanwhile, at yesterday's full meeting of the Council, the City Mayor told councillors of a projected £42million overspend as the financial costs of the virus left him "deeply, deeply concerned about the financial future of local government..."

Full details here...

Salford has three new confirmed cases of coronavirus, taking the total to 970 overall, up from 967 from the previous day.

Elsewhere in Greater Manchester, the number of confirmed virus cases in Manchester now total 1,693 (up from 1,685), followed by Wigan with 1,231 (up from 1,230), Oldham 1,140 (up from 1,139), Stockport 1,074 (up from 1,073), Bolton 1,046 (up from 1,045), Trafford 871 (up from 870), Rochdale 868 (up from 863), Tameside 836 (up from 833), and Bury 806 (up from 806).

There has also been one further sad virus-related death at Salford Royal Hospital.

Meanwhile, at yesterday's remote full meeting of Salford City Council, the City Mayor, Paul Dennett, spoke of a £58million shortfall in the Council's finances as a result of the virus crisis.

With a Government grant of £16million to date, this left £42million for which the Council is using £4million reserves to bring it down to a £38million projected overspend.

The costs included...

£4.3million in demand for adult social care in Salford care homes, providing PPE and covering increased staffing costs
£4.8million for children's social care, ensuring foster care and support
£13million lost from business rates
£10.7million lost from Council Tax
£5.1million from income and fees and charges...

There was also nearly £10million lost in dividends and interest on loan payments from Manchester Airport. The Airport figures get even worse when the 'secret' loan from Salford Council, reported at £13million, is taken into account.

"I am deeply, deeply concerned about the financial future of local government" the Mayor added "At the beginning of this crisis the Government told us it would help by any means necessary to tackle the budget pressures caused by our response but unfortunately these promises have run dry and once again we're having to lobby and campaign to make sure Government takes into account poverty and deprivation when allocating financial support..."

In response Conservative Party Leader, Councillor Les Turner, listed how Government had helped people via its "unprecedented support" including Job Retention Scheme, business loans, small business grants and the self employment income support scheme.

"The Government will respond to claims in due course" he explained "Do not jump to conclusions; let us wait to see what the outcome is and if the outcome isn't what we would like then is the time to feel free to criticise..."

Conservative Councillor Arnie Saunders added that "We might be out of pocket at the moment and I am certain that the Government will look very favourably in reimbursing councils..."

He then said that, in terms of furloughed people, the constituency of Salford and Eccles had the seventh highest number in the country outside London, while Blackley and Broughton had the 11th highest number.

In the whole of the north of England, Salford and Eccles had the second highest furlough figures, while Blackley and Broughton was third, only behind Manchester Central. He didn't list Worsley and Eccles South.

35,000 people living in the Salford part of Blackley and Broughton had been furloughed he added, which was 15% of the total Salford population...