Torbay council forecast an overspend of more than £2.8 million by the end of the year

Torbay council has called an immediate halt to non-urgent spending because of financial pressures.

The Conservative-majority council ordered the freeze after its budget report for the first quarter forecast an overspend of more than £2.8 million by the end of the year, which it attributed to a substantial increase in the number of children being looked after.

Steve Parrock, the chief executive, told councillors: “Even if an activity or contract is budgeted for, the task or expenditure may be postponed or cancelled if the work is deemed not urgent by the chief finance officer or myself.”

He added that the Devonshire council faced “significant financial challenges due to government funding cuts and increasing demands, particularly in social care”.

Labour called it a crisis that had