Council debts and pension deficit tops £200m

The annual statemement of accounts revealed it has a massive financial black hole to fill.

The council insists it has plans in place to do so.

Colchester Council has taken out loans totalling £137.8m.

They are costing taxpayers more than £6m a year in interest alone.

It also has a pensions deficit of £82.3m.

Both staff and the council itself will have to make it up by increasing contributions.

A spokesman for the council said: “Our loan debt reflects the assets we hold and investment the council has made over a number of years.

“The main reason for the size of our debt is the council owns, and has invested in, our housing stock.”

See the full story in Wednesday's Gazette.