Southampton City Council remains on the edge of bankruptcy, yet official records reveal it’s still doling out hundreds of thousands of pounds to a selection of community groups, including funding knitting and mug printing lessons for immigrants at the Cross Culture Hub.
A review of the council’s 2024 grants shows a colourful array of recipients and has sparked questions about spending priorities as the city faces the real prospect of running out of money for essential services.
Southampton City Council’s finances in 2024 were under extreme pressure. In the year, the council narrowly avoided effective bankruptcy by securing “exceptional financial support” from the government, including permission to borrow £39.3 million just to balance its books and keep services running. Despite some reported savings and a late-year underspend, the council still faces serious structural challenges and mounting council tax arrears exceeding £30 million. Throughout 2024, Southampton City Council remained under Labour control following the May elections, with Labour councillors overseeing budget decisions amid ongoing warnings that the city could still be at risk of a financial collapse.
Among the more eyebrow-raising grants: the Cross-Culture Hub CIC received two payments of £2,498 each this year, which funded, among other things, “knitting and mug printing workshops” aimed at helping new arrivals feel at home in Southampton.
Elsewhere, the United Voices Of African Associations was handed £1,300 in October, while the Malawi Association of Southampton and the South Coast picked up two separate grants of £1,939 each, in November and December.
The Somali Women and Children Community Development Group also received double helpings: two grants of £2,450, awarded just over a month apart. The Chinese Association of Southampton was given £2,500 in November, and the Islamic community organisation 1Ummah Community landed two grants of £2,500 each in April, so £5000 in total to fund a website community showing muslim prayer times and helping muslims to locate their nearest mosque in Southampton.
Pride events and arts organisations also benefitted. Southampton Gay Pride received £2,634 in May, and the Art Asia Trust Limited was awarded a substantial £13,500 days later. Another £2,500 went to TUVAA on December 10.
These grants come at a time when the council has warned residents of sweeping cuts and even the possibility of issuing a Section 114 notice — the formal admission that it can no longer balance its budget.
