§ Mr. MackinlayTo ask the Secretary of State for the Environment what explanation was given to his Department for the financial crisis at Castle Point borough council prior to his decision to impose capping on that council for the year 1993–94.
§ Mr. BaldryIn its representations to the Department, the authority set out its view of both the manner in which deficits on the general fund had been incurred in 1991–92 and 1992–93 and the timing of their identification. The deficits were due, in the main, to incorrect budgeting for interest receivable and interest payable. The deficit for 1991–92 was identified by the district auditor during closure of the accounts in autumn 1992; the scale of the 1992–93 deficit had not been apparent until February 1993.