I AM writing in response to recent Evening Press articles and reports which have implied that the City of York Council is not financially well managed and as a result is in an unstable financial position.

I wish to reassure the citizens of York that this is not the case. The issues are fully set out in a report to the council Executive on Friday, February 9.

In summary, the council is projected to be overspent by £800,000 on front line services due to pressures particularly in social services, housing and transport.

In addition there are the significant costs incurred during the recent flooding. However, overall the council's financial position is healthy and we are on target to make a surplus of £850,000. This surplus is due to significant savings made in terms of interest payments and reduced pensions.

We are facing a very difficult set of budget decisions for next year. There is, however, a well-planned strategy for addressing both the financial and other issues facing City of York Council.

Simon Wiles,

Head of Financial Services,

City of York Council,

PO Box 31, Library Square, York.

Updated: 11:45 Friday, February 16, 2001