The council's finance chief has warned that the Government's Spending Review 2013 will increase the council's financial challenge which already stands at £60 million by 2017/2017.

In a statement, Cabinet Member for Resources, Councillor Andrew Johnson said: "I am dismayed but not surprised by the impact on the council of today's Spending Review. Based on the Chancellor's speech, the council's financial challenge, which already stands at £60 million by 2017/2018, will increase further despite the financial planning projections already being established on a very prudent basis.

"An initial estimate of this impact is that this will increase the challenge by £5 million to £10 million. Whilst the freeze of Council Tax for a further 2 years is welcomed, the impact on the council will only be understood once the value of associated Government grant is announced.

"The announcement on troubled families funding and the availability of joint resources for elderly care are welcomed but the impact on Wolverhampton City Council's budget cannot be quantified as yet until detailed proposals are announced."

  • released: Wednesday 26 June, 2013