Welwyn Hatfield Borough Council has called on the Government to "acknowledge and address the budget pressures facing the council" in an open letter.
The council claims the problems are "caused by Government underfunding", citing a 64 per cent decrease in funding since 2010, despite an increased demand for services.
In the letter, addressed to the Chancellor of the Exchequer, MP Jeremy Hunt, the council suggests reviewing caps on fees, three-year certainty on grant funding, and allowing councils to retain a greater share of business rates to ease the financial pressures.
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"We have contacted the Government to highlight the significant budget challenges we are facing," said Councillor Paul Zukowskyj, leader of Welwyn Hatfield Borough Council.
"It is not sustainable nor fair to expect our residents to bridge the gaps in our budget caused by Government underfunding and also face the risk of reduced services.
"Feedback from our recent Community Survey showed that residents want us to lobby the Government to help balance our budget and this is our first step in doing this.
"We call on the Government to listen to our concerns and take up the offer to discuss them with us further."
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