Blackpool Council is not on the brink of bankruptcy or about to run out of money. However, it is fair to say that times are very tough. Like the majority of councils we will spend more on vulnerable adults and children, through our social care services, the increase in demand in these areas is affecting almost every council in the country, with over 80% of councils expecting an overspend this year, due to demand and cost pressure. Our overspend will be about £7 million. When that is deducted from what we had in general working balances at the start of the year, our current account if you will, that will leave £74,000. However we also have other reserves of nearly £25 million, the equivalent of our deposit or savings accounts. We have made difficult choices over many years to ensure we have this solid buffer. So yes, like almost every other council in the country our current account is taking a real hit, but with our reserves we are solvent and secure.

With regard to council borrowing, we have rightly borrowed to invest in the town, in steel, in bricks and mortar, regenerating Blackpool and creating jobs and homes for local people. Our current borrowing is £500m, but the assets that we have invested in are worth over £1 billion, twice the value of the debt. We also provide loans to private businesses, to help them invest in Blackpool, all of these loans are secured on assets and therefore protected. The interest payments on our loans are planned for and within the budget set, in fact in comparison with other local authorities, we are paying significantly less in interest, due to the way we have managed our borrowing.

I also want to highlight the work of Blackpool Housing Company, a company that we set up nine years ago to tackle poor quality private rented properties in Blackpool. This is a great example of our approach to secure investments in our residents’ futures. We financed the company using council borrowing. Our aim was to acquire derelict and poor quality properties and HMOs and convert them into good quality rented homes for local people. We have now created over 700 homes. Over the last nine year we have invested £56.85m in the company, but these homes are now worth £62.9m. Not only have we invested wisely, but we have transformed the lives of over 700 local families and contributed to regenerating some of our most deprived communities. I really cannot think of any better investment and payback than that.

Blackpool Council has suffered the most severe cuts in government funding during the last 14 years. As a result, we have had to be more creative and self-reliant, not only have we come out the other end of this terribly challenging time solvent with assets double what we owe, we have invested in our young people and children’s services, kept libraries and sports centres open, invested in our green spaces, paid real living wage to all our staff, the staff of our companies and our care workers. We have also continued with the regeneration of the town, the fruits of which are starting to be seen in so many parts of Blackpool.

We will never be complacent in the use of taxpayer money. We constantly review and scrutinise how our services are performing and our financial position. Nationally the demand on adult and childrens social care, special needs support for children and temporary accommodation are significant and they will need further funding if we are to meet the needs of our most vulnerable people. In the recent budget, the new government announced an extra £1.3 billion for these pressures in local government. While this is a welcome start in recognising the demands faced, more needs to be done to provide secure long term funding, so we can provide good quality services to those who need our help. We are working with the Government, our MPs and the Local Government Association, to make the case for additional funding.

We are determined to make Blackpool the place we all want it to be, one that we can be proud of and our children aspire to make a future in. I know that this is a huge challenge with so much more still to do, but progress is clear. Next year will see the opening of our new Civil Service hub, bringing over 3,000 office workers into our town centre – a huge boost for local businesses. Next door to this, work will continue on the development of a new Higher Education campus, Multiversity, which will deliver skills and opportunities for generations of our children in a location accessible for all. In 2025 we will also start to deliver the £90m of funding we won from Homes England to create hundreds more genuinely affordable, quality homes for Blackpool residents. Local apprentices will work on all of these big developments and we will deliver new exciting youth projects. And in facing the future we will create more high tech green jobs for local people through our Silicon Sands vision, adding to the 2,500 new jobs we have already created at our Airport Enterprise Zone.

I will not rest until we have created opportunities for everyone in our town. If this means continuing to invest wisely as a Council, we will. This is the only path if we want to give you, and your children, the future they deserve. Together we can deliver a bright future for Blackpool.

As the Christmas season approaches I hope you are all able to spend time with your families and enjoy the festivities, Merry Christmas to you all.