SOMERSET County Council may not be able to set a “sustainable” budget next year – even after the latest wave of cuts were agreed.

The council’s cabinet met on September 12 to approve more than 70 proposals to deliver nearly £15million of cuts by 2020, of which £13M must be delivered by February 2019.

Despite the overwhelming majority of the proposals being passed, the council’s interim director of finance has said the delivery of these savings must be closely monitored to ensure they are achieved.

He also criticised media speculation as to whether Somerset or other county councils would “fail” next, branding it an “unwelcome distraction”.

Several reports on the council’s financial health came before its audit committee in Taunton on Thursday morning (September 20).

Representatives from Grant Thornton LLP, which published its official audit in July, acknowledged the council’s actions to address overspending, but said it was too early to say whether the agreed cuts would successfully tackle the problem.

They said in their written report: “Although it is too early to assess the progress since our July reporting, we note the increased momentum aimed at addressing the budget challenges the council faces.

“We have now agreed monthly catch-up meetings with the interim director of finance and his deputies to discuss and understand progress against our 2017/18 recommendations.”

Councillor Clare Aparicio Paul, who chairs the audit committee, added: “There are signs that progress is coming along and changes are being made.”

Peter Lewis, the council’s interim director of finance, said that that “significant progress” was being made on the children’s services budget, with the chief executive and head of children’s services meeting to discuss the matter in depth on Wednesday (September 26).

He added he was reviewing how flexibly the council’s capital receipts could be used, and would strive to make the budgeting process “more streamlined and transparent” going forward.

In the council’s official risk register, the risk of not setting a sustainable budget remains “very high” in light of “unforeseen expenditure and overspends [which] exceed the planned provision”.

This assessment was published before the cuts were approved on September 12, but Mr Lewis said he would not be altering this assessment until plans to implement the savings had come forward.

He said: “We are keeping our eyes very closely on this.

“Even if I were drafting this report now, I would not want to change the risk now because I would like to see plans coming forward.”

Pam Pursley, the council’s risk manager, added there was “a challenge” in ensuring savings were delivered, in light of past performance.

She said in her report: “At the end of 2017/18, about 57 per cent (£11.1M) of the planned £19.5M in savings were delivered.

!There were particular challenges around three of the larger proposals, for which only 41 per cent was delivered, and this impacted the overall success rate.

“For 2018/19, a more robust review process is in place and currently around 80 per cent of proposals are on track to be successfully delivered.”

Mr Lewis criticised the media response to the cuts, including speculation as to whether Somerset or other county councils would be next to follow Northamptonshire into “failing” by issuing a 114 notice.

He said: “There is significant press interest as to which authority might ‘fail’ next, and this is not helpful speculation.

“Somerset has suffered a great deal of interest in the trade and general press as a result, particularly after the external auditor’s value for money report in July.

“Therefore, any published index [comparing councils] will be taken in that light… and is going to be used to continue this unwelcome distraction.

“Whilst it may be of general interest to see where Somerset sits in relation to its peers, this will not improve our financial position or mitigate the challenges that we face.”

Councillor Mike Rigby criticised the lack of foresight on the part of officers, claiming more warning should have been given that the recently-agreed cuts were needed.

He said: “Who is in the business of forecasting the council’s finances? Seven weeks ago there was no indication that an emergency budget was going to be required.”

Mr Lewis did not comment on the record of his predecessor Kevin Nacey, but added: “Clearly it’s a responsibility that lies on my shoulders. That is set out in statute, and I believe in the time I have been here, I have done that.”

A further update on the council’s finances will come before the committee at its next meeting on November 22.