Tories urge Government to step in as Middlesbrough Council faces bankruptcy

 Credit: Ian Cooper/Teesside Live
Middlesbrough Council, which is currently Labour-run, says it needs to find a way to plug its £6.3 million funding gap. Credit: Ian Cooper

Conservative politicians are calling for the government to take control of a North East council facing bankruptcy.

Middlesbrough Council, which is currently Labour-run, says it needs to find a way to plug its £6.3 million funding gap.

In a letter to Parliament, Simon Clarke MP and Tees Valley Mayor Lord Houchen, both of the Conservative party, have formally requested the government intervenes in the running of the local authority "before matters deteriorate further".

The council has proposed selling off properties and increasing charges which could possibly save £14 million, in an attempt to save money in the face of shrinking reserves.

Simon Clarke MP penned a letter with Tees Valley Mayor Lord Houchen to request government intervention. Credit: PA

In response to the call for government support, Middlesbrough MP Andy McDonald, who is currently Independent after being suspended by the Labour party, described the letter as "vindictive and wholly irresponsible" and a "party political stunt".

Labour figures, including Middlesbrough Mayor Chris Cooke and the council's chief executive Clive Heaphy, blamed the previous previous Independent-Conservative administration for the current decisions that need to be taken.

Last month an overspend of more than £8.5 million for the second quarter of the financial year triggered Middlesbrough Council to approve the sale of council property.

TeesAMP business park, Middlesbrough House and Middlesbrough Municipal Golf Centre have all been named as part of the sell-off.

Despite this, a council report published on 12 December suggested the pending proposals would still leave a £6.27 million shortfall remaining.

Mayor of Middlesbrough, Chris Cooke, accused the request for commissioners to step in of being “a call to abandon Middlesbrough”. Credit: ITV Tyne Tees

The letter from Conservative politicians, dated 13 December, stated: “Faced with asset disposals, service cuts and closures on an unprecedented scale, we believe that the public in Middlesbrough could face no worse outcomes under a statutory intervention, and might actually enjoy better options, in particular if sustainable plans to address the very high number of adults and children needing support from social services can be developed and/or strengthened through external expertise.

"In any event, we believe that we have now reached a point where it is our responsibility to say that we do not believe that the Council can address the challenges it faces alone."

Mayor of Middlesbrough, Chris Cooke, said the letter which was co-signed by four councillors was “littered with inaccuracies”.

He accused the request for commissioners to step in of being “a call to abandon Middlesbrough”.

Mr Cooke added: “In practical terms, this means cutting all non-mandatory services, cutting jobs and putting vulnerable people at grave risk.”

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