Bury Council is facing a £16 million budget shortfall in the upcoming financial year.
The gap between spending and income comes despite years of savings and spending cuts, with the authority having already cut £140 million from its budget in recent years.
Rising costs and increasing demand, especially in adult and children’s social care, are fuelling the latest financial pressures, the council has said.
Around 70 per cent of the authority's budget is spent on these demand-led services.
Councillor Sean Thorpe, cabinet member for finance, said: "The economic situation is tough and like councils up and down the country, we face increasing costs and inflation and rising demand, particularly for services for the most vulnerable.
"We’re determined to do everything we can to protect those who need our services the most.
"But despite the headwinds, Bury is doing everything possible to manage this storm without the drastic measures some other councils have taken.
"We’re laying the foundations for a stronger financial position in the years ahead by controlling demand and improving efficiency.
"The new three-year government funding settlement may help us plan better, but right now, our focus is on closing the gap."
The council has already identified £8.5 million in savings and is working to close the remaining £7.5 million shortfall.
Its strategy includes driving internal efficiencies, maximising income from assets and treasury management, and taking a more commercial approach with suppliers.
Despite these efforts, the council expects it may need to use some reserves to balance the budget when the new financial year begins in April.
Cllr Thorpe said: "At the same time, we’re working to grow the local economy and create hope – with vibrant investment in our towns, an accelerated housing programme, and the Atom Valley scheme, one of Greater Manchester’s most significant regeneration projects.
"By law, we must set a balanced budget each year.
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"By acting now, we ensure decisions remain local and aligned with our LET’S Do It vision – giving our borough the schools, housing, health improvements, and jobs we need."
The council will launch a public consultation on its budget plans on Thursday, December 4.
Residents, businesses, and partners are encouraged to take part in the consultation to help shape the council’s plans.
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