Windsor Castle is in Berkshire, which has more than $240 million in debt and is very close to going bankrupt.
The Royal Borough of Windsor and Maidenhead is nearly bankrupt because the country’s rising interest rates have made paying off its £203 million ($240 million) debt more expensive.
On Saturday, councillors were told that the local government in Berkshire, which includes Windsor Castle, has spent more than seven million pounds ($8.5 million) more than it should have so far this year.
On top of that, it is planned that they will spend £6.2 million more than they have.
“Historical spending decisions on council tax and borrowing, poor financial management, and low financial resilience over the past decade, along with macroeconomic pressures like inflation, have made the council’s position vulnerable,” Finance Councillor Lynne Jones said, according to the council’s website.
People say that high inflation levels and the growing need for adult social care are the latest problems.
Jones said that the cabinet’s top goal will be fixing the council’s finances until they are stable. He promised to do “everything we can” to avoid giving a Section 114 notice, which would be the same as declaring the council bankrupt.
“However, the situation is complicated and hard, and it will take time to fix,” she said.
The Windsor and Maidenhead Council is the latest local government to run out of money; this has happened to several local governments in the last two years. Slough Borough Council, which is close by, issued a section 114 warning in 2021. Croydon, Thurrock, and Birmingham are some other councils around the country that have said they can not meet their spending promises in the past few years.