A LOCAL authority's projected loss of £195,000 in the current financial year is a lot better than the £2.7million equivalent 12 months ago a borough finance boss has told colleagues.

Deputy leader Cllr Sue Graham was speaking as Burnley Council executive debated the estimated overspend for 2021/2022.

The cash gap is based on the financial position at June 30.

A report to the borough's executive on Wednesday by finance manager Howard Hamilton-Smith told the senior councillors: "You are asked to note the projected revenue budget forecast position of a net overspend of £195,000.

"The budget is being continually monitored."

Cllr Graham, the council's executive member for resources told the meeting: "This is a lot better than the position at this time last year when the forecast deficit was £2.7m.

"That, of course, was as a result of Covid.

"This kind of projected overspend at this point is usual.

"We have received some money from the government for the costs of Covid.

"This is something we should be able to deal with."

Her predecessor in the resource job during the previous Burnley Council coalition administration Liberal Democrat Cllr Maggie Lishman agreed and said budget savings proposed should be able to close the cash gap.

But she warned that the council and the borough's residents, suffering from the aftermath of coronavirus and the reduction in Universal Credit payments, still faced a difficult time in the coming year.