The state of Kirklees Council’s finances is in the spotlight once again, as the local authority has projected an overspend of more than £13m.

At the cabinet meeting on September 8, an update was given on the council’s financial position.

At the end of quarter one, a £13.6m overspend has been forecasted. This figure is after the use of £5.2m in reserves.

A report to the meeting says it is “unlikely” that this overspend will be “brought back in line” with the budget by the end of the financial year.

Kirklees Council has projected an overspend of more than £13m as financial pressures continue.

placeholder image — Kirklees Council has projected an overspend of more than £13m as financial pressures continue.

It is anticipated that the council will need to fall back on more reserves to balance the books, but these pots of cash will need to be replenished.

The council’s finances have been pushed to the limits in recent years, with the local authority having to find £47m when challenges peaked in 2024/25.

While the figures have improved since then, the new Reform cabinet has come into power at what continues to be a difficult time for the council’s finances.

Coun Simon Brophy, cabinet member for strategic finance and local government efficiency, described the council’s current financial position as a “significant concern” and said the administration is prepared to take difficult decisions to tackle it.

He told the meeting that the greatest pressure continues to be demand-led spending in social care.

The council’s adults and health, and children’s and families directorates have a combined overspend of around £19m, reflecting increasing demand, greater complexity of need and a difficulty in delivering some savings agreed under the previous administration, he said.

According to the meeting’s report, the remaining areas of the council budget – place, public health and corporate resources – and the central budgets remain “relatively stable” and are expected to balance or underspend to partially offset the overspend.

Coun Brophy added: “We remain committed to reducing the council’s forecast level of debt and the leader has already outlined to me that we will apply rigorous tests to future spending to maximise economic benefits across the whole of Kirklees and reduce the pressure on taxpayers in the future.”

The meeting’s report highlights several actions to crackdown on spending, including:

Placing further controls on recruitment, with all posts requiring approval from members of the executive leadership team.

Reviewing all overtime and agency spend.

Only spending on the essentials.

Reviewing the council’s capital plan on an ongoing basis.

An update of the council’s medium term financial strategy will go to cabinet in October, followed by draft budget proposals for 2027/28 in December 2026.