THE Covid-19 pandemic could cost Southend taxpayers more than £10million by the end of the year.

Since lockdown came into force in March, the council has had to introduce a range of extra services - but at the same time its revenue, including money from parking and council tax, has dramatically fallen.

This has cost a total of £22.3million and while the Government has paid off £12million of this, there remains another £10.3million which has not been accounted for and may end up being the responsibility of Southend’s taxpayers.

The funding gap is almost £1million more than a previous forecast of £9.5million.

Labour council leader, Ian Gilbert, said: “Local government has never faced such a challenge whilst also wrestling with so much uncertainty.

“At the moment, although the overall financial impact is not completely clear, we know that we will have a significant budget shortfall to meet this year and in future years.

“We are basing our estimates on projected loss of income, additional pressures on key areas such as social care where we have seen an increase in demand due to the pandemic, and also the financial challenges that came with easing lockdown and implementing new measures when they have been needed.”

Forecasts show the council will receive £5million less income this year, with parking income, sports pitch hire and other fees significantly dropping, alongside a £4.6million potential shortfall in the collection of local council tax and business rates.

The £10.3million budget shortfall is in addition to an already projected funding gap of £23.4million up to March 2025, which has been brought on due to Government cuts prior to the pandemic.

Mr Gilbert added that economic recovery will be “a priority” for the council as it sets the 2021/22 budget “in the most challenging of circumstances”.

The cabinet will discuss the funding gaps in more detail at a meeting next week.