Section 114 notice

Councils cannot go bankrupt in the same way a private company or individual can. We are, however, legally required to balance our books each year. If we are unable to do so, we may be forced to file what is called a Section 114 notice.  

A Section 114 notice allows national government to step in and manage our finances. They will likely reducing council services to the bare essentials. It will also require us to put a stop to all non-essential spending.

A section 114 notice would lead to significant impacts on our residents and communities. 

For example, this could lead to cuts across all ‘non-essential’ council services and increases to taxes and charges. 

Non-essential services

Non-essential or discretionary services can include all services that we are not legally required to deliver. 

A Section 114 notice may mean we have to cut back on these types of services. This could mean

  • repairing fewer potholes  
  • less street cleaning and maintenance such as verge/ hedge cutting  
  • closure of parks and play areas
  • closure of public toilets  
  • closure of CCTV monitoring
  • withdrawal of support for cultural activities such as theatres and local events  
  • a reduction in our ability to 
    • inspect food premises and licensed venues
    • protect our local environment
    • ensure commercial products and services are safe 
  • reduced hours of operation for leisure centres, libraries, recycling centres and potential closure  
  • reduced bus subsidies leading to routes being reduced or cancelled 
  • increasing fees and charges such as licences, permits and parking charges  
  • reducing our prevention activity in Children’s and Adult social care
    • this would give short term savings but would result in increased demand over the long term  
  • the council can no longer approve any new spending

Section 114 notices nationwide

Several councils across the country have already filed a Section 114. Many more are reporting that they are at risk. 

A Section 114 is a situation we want to avoid and we are doing all that we can to make savings and find efficiencies. 

Unfortunately, there is only so far we can go. Without a change to how we’re funded or how we can raise and use funds ourselves - a Section 114 is increasingly likely. 

Sign our petition for a fair deal for North Somerset

We are urging the government to do more and will be working with them to secure a fairer deal for North Somerset. 

We have also launched petition where you can pledge your support and call for fairer funding. This is so that we can prevent our financial emergency and continue to fund and deliver the services that make North Somerset a great place to live, work and visit.