Gloucester City Council staff have been told that some roles are at risk of redundancy, while city venues and events face having their funding cut, with details of the council's financial difficulties coming to light this December 2025.
Gloucester MP Alex McIntrye says there's 'no way of sugar-coating' the situation and that he fears for the impact it could have on Gloucester, with the council set to apply for between £12.5 million and £17.5 million from the government to keep essential services going and save it from bankruptcy, while it implements a plan to make savings.
It comes with the council's latest, unpublished accounts for 2024-25 showing an overspend of £4.3 million, which, on top of overspends in the previous three years, has pushed its reserves into a negative position.
The council says the situation stems largely from the aftermath of a cyber attack in 2021, which has caused delays of several years to the publication of its accounts.
It says key factors behind the overspend include reduced income due to delays in completing The Forum development; increased interest on borrowing; lower-than-expected rental income from commercial properties; and significantly increased IT equipment and infrastructure costs.
Following a review of its services, the council has already informed a small number of staff in its culture and community engagement teams that their roles are at risk of redundancy, or that fixed-term contracts will end earlier than planned or not be extended.
Some of the city's key cultural venues are also set to be affected, with a proposal to end the council's lease of Blackfriars Priory from English Heritage – effectively closing it as a wedding and events venue – from May 2026, along with plans to reduce the opening of The Museum of Gloucester to four days a week, to be considered by the council's cabinet.
It will also vote on a reduction of funding for some festivals and events; an increase to charges for green waste, bulky waste and fly-tipping penalties from January 2026; the closing of the Councillors’ Community Funding scheme, which provides grants for local projects; and the introduction of a Mutually Agreed Resignation Scheme (MARS) for staff.
The council’s deputy leader and cabinet member for resources, Declan Wilson, said: 'We want to be as open as possible about the challenges the council is facing.
'These are extremely difficult decisions, but they are necessary to balance the books and protect essential services. Applying for Exceptional Financial Support will give us the breathing space we need to make changes and secure the council’s future.'
In a Facebook post this week, Gloucester MP Alex McIntyre said: 'There is no way of sugar-coating it – the council are in serious debt, having overspent their budgets for the last several years.
'They are asking the government for emergency funding to keep them afloat. Without that, the reality is bankruptcy.
'I am appalled by this news for a number of reasons. Firstly, the financial mismanagement that’s been exposed today will have an enormous impact on staff at the city council, some of whom will lose their jobs.
'Secondly, the people of Gloucester will be seriously impacted by this mismanagement, with services cut, discretionary spending seriously limited and increases to charges like the green and bulky waste collections.'
Cabinet will be asked to agree to the application for Exceptional Financial Support (EFS), over which initial discussions with the government have been 'positive', the council says. Provisional approval is expected in February 2026, ahead of setting the 2026-27 budget.
