WARRINGTON Borough Council’s finance chief Denis Matthews has responded to a “damning” financial report on the debt-ridden council’s projected near £37m overspend.
Despite the criticism aimed at the council Cllr Matthews says he welcomes engagement “with all residents of Warrington on any issue that is important to them.”
He was responding to a financial investigation by members of the Stop The Warrington Debt group, who submitted their concerns to Government Minister Jim McMahon last May.
The Stop the Warrington Debt (STWD) group has published a damning, evidence-based report exposing the financial mismanagement behind Warrington Borough Council’s projected nearly £37m overspend. The report was formally submitted to the Government Minister, who had invited representations following his intervention into the council’s failures.
This led to Government appointed envoys being appointed to work with the council moving forward.
STWD claims the report lays bare systemic incompetence, lack of transparency and poor leadership, accusing the Council of years of “skulduggery” that has pushed Warrington into financial crisis.
The group is calling for all fiscal decision-making powers to be removed from Warrington Borough Council, arguing that only Government-led oversight can restore financial stability and public trust.
Key Findings of the Report:
• Failure to get annual accounts audited and signed off on time.
• Resistance to adhering to accounting standards under the CIPFA Code of Practice.
• Misuse of PWLB loans and investments outside stated purposes.
• Excessive use of secret “Part 2” meetings and obstruction of FOI requests.
• Investment decisions made without proper due diligence, leading to guaranteed losses.
• WBC CEO and councillors linked to Together Energy, accused of trading while insolvent.
A spokesperson for STWD said: “This report exposes unacceptable practices that have been allowed to fester within the Town Hall for years. Unless decision-making powers are stripped away, Warrington’s financial position will only deteriorate further.”
STWD, founded in 2019, is led by professionals with expertise in finance, media, law and political affairs. The group operates primarily through its Facebook platform, campaigning to expose what it calls council corruption, poor governance, financial incompetence and its inevitable failures. Its membership spans all political parties. WBC is currently Labour controlled, holding a significant majority of 40 seats. The party has remained in control of the council since 2011.
Cllr Denis Matthews, Cabinet member for Finance, Assets and Investments at WBC stated: “I welcome engagement with all residents of Warrington on any issue that is important to them. This is perhaps even more so when they hold differing opinions to my own. Respectful, transparent, and constructive communication is the only way we can hope to find common ground, and in my opinion is the basis of all local democracy.
“The Quarter 1 Budget Monitoring report for 2025/26 is now published on the WBC website, and I encourage any interested person to consider this information for themselves.
“In February, Full Council approved a budget for this financial year of just over £208m. This budget was set against a background of historic low government funding and increasing Social Care, Special Educational Needs & Disabilities (SEND) and Homelessness demand.
“At the end of Quarter 1, the outturn for 2025/26 is forecast as an overspend of £36.8m. However, this figure is only a forecast, and we know from experience in previous years that actions taken by the Council will see it significantly reduced by the end of March 2026.
“This forecast is simply an early estimate of the year end position of the Council based on current trajectories, and the actual overspend has not yet happened. That means the Council can, and will, and is, taking all possible actions to ensure that we seek to remain on budget and live within our means.
“To be clear, this projected overspend is across different Council departments, but £28.9m of it is linked to our Council’s legal obligations to provide services to both adults and children within the borough. It is not wasted money on bureaucracy, but spending on people and families who expect the Council to be there for them when they need it most”.
A copy of the group’s letter can be read by clicking the link below.
Response to Best Value Inspection Report
1 Comment
Very grateful once again Gary for keeping us informed, in the face of a less than transparent council.