One in five say they will be insolvent by next year. These local crises add up to a national catastrophe that’s about to explode, says the Guardian columnist John Harris
Councils were strongly encouraged to borrow money to invest, with the strong hint to them that investments that returned profit would be able to replace government shortfalls.
Some councils did it because they were backed into a corner, others were led by impossibly shit idiots.
But the outcome is, a large number of those investments did not pay off, and those councils are now faced with failed investments, the bill, and still not having enough because of the cuts.
Councils were strongly encouraged to borrow money to invest, with the strong hint to them that investments that returned profit would be able to replace government shortfalls.
Some councils did it because they were backed into a corner, others were led by impossibly shit idiots.
But the outcome is, a large number of those investments did not pay off, and those councils are now faced with failed investments, the bill, and still not having enough because of the cuts.