Sefton Council says it is facing a £23m black hole – and has pleaded with the government to make "good on its promises" of financial help.
A report on the local authority’s website shows the impacts of the pandemic, with key financial pressures in four areas.
The first is the cost of responding to the pandemic, which council chiefs have predicted to be £14.2million.
Sefton has also been hit by a reduction in the fees which the council charges residents for, such as parking and the use of leisure centres.
This loss of income could cost the local authority £15.3million.
The local authority will suffer a another hit to its income from reduced council tax, with some residents unable to afford the charge and others moving to Universal Credit and therefore facing either a reduced council tax bill or no bill at all.
Council chiefs predict this to mean a loss of £6.4m.
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A further loss of £7m is forecast due to the reduction of income from business rates, as some companies were forced to close and others are struggling financially.
At Sefton’s Full Council meeting last Thursday (September 17), council leader Cllr Ian Maher implored the government to “come good on its promises of financial help”.
So far, the council has received £20.1m from central government – but has said this isn’t nearly enough.
Cabinet members will discuss the report when they meet on Thursday (October 1).
Documents go on to say the figures are the “subject of material change depending on lockdown measures being relaxed, the potential for a second COVID 19 wave, social behaviour and the conditions within the local economy that drive employment and business activity”.
