Massive underspend at Islington Council

Very odd news from Islington Council’s finances. In tough times you’d expect the story to be about not having enough money, making cuts and so on. But in fact, the council is on course to under-spend its capital budget by £35 million this year.

As the Islington Liberal Democrats press release says:

This represents almost 20% of the planned overall capital budget. This funding is used to build new housing, improve the borough’s schools and roads and provide local jobs…

Islington Liberal Democrat Finance Spokesperson, councillor John Gilbert, said:

“We are in the middle of a recession and the work and jobs that the council’s capital programme provides are desperately needed in Islington right now … Labour councillors need to get a grip on the council’s finances and explain to residents why the new homes and school improvements they have been promised are not happening yet.”