Croydon council has declared effective bankruptcy for the third time in two years, saying it faces an existential question after collapsing under the weight of a toxic debt burden running to more than a billion pounds.
In the latest sign of the continuing financial storm raging through local government, the south London authority said it would be unable to balance its books after April, and signalled a fresh round of brutal cuts to services and job losses.
It has asked ministers to write off 1.3bn of debts, including 500m run up through a series of ill-fated commercial investments, arguing the sheer scale of Croydons crisis required an unprecedented financial bailout from the government.
A paper to the councils cabinet says that, given the …
Read the full article at: https://www.theguardian.com/society/2022/nov/22/croydon-council-declares-effective-bankruptcy-for-third-time-in-two-years