Lancaster City Council faces further budget cuts
Further budget cuts are leading Lancaster City Council "closer to the cliff edge", the council leader has said.
The authority has to save £3.5m over the next two years after the government cut funding by 15.3%, on top of a 27% cut since 2010.
Council leader Eileen Blamire said the cuts will have a major effect on local services.
The council will hold a cabinet meeting on Tuesday to discuss savings options.
The authority will have to find recurring savings of £1.2m from 2014/15, with a further £2.3m having to be found for 2015/16.
'Protecting the frontline'
Up to £1m could be saved by "restructuring, streamlining and cutting corners".
The remaining £2.5m "can only be made through withdrawing or significantly reducing services", the council said.
"Although every effort will continue to be made to deliver savings whilst protecting the frontline, it is inevitable that we will have to make service cuts to balance our books.
"Savings of the size we now face simply cannot be made through efficiencies.
"Many of the decisions will be tough and unpalatable to many but they will have to be made."