POWYS council is set to overspend by more than £5m this financial year - it has been revealed.
An update for the council’s cabinet has shown the council’s projected overspend has grown by £1.675m since the end of May and now stands at £5.428m.
The figures includes savings the council failed to achieve during the 2015/16 financial year. It is predicted the council will overspend by 3.25% of its working budget.
The council directorate with the biggest projected overspend is its ’People’ area which includes social services. It is on course for a £4,298,000 overspend.
The figure includes identified savings that the council has yet to cut from its budge.
Cabinet members were warned if the savings are not met the authority will have to raid its reserves to make up most of the shortfall.