West Northamptonshire Council, based at Angel Square in Northampton, was told it needed to settle the dispute
The disagreement follows the splitting of the former Northamptonshire County Council into two unitary authorities. Mark Stocks, from auditor Grant Thornton, said: "I can't sign the accounts until that disaggregation is resolved and it brings risk upon you.", the external auditor told West Northamptonshire Council: "To be candid, I just think you're being too slow on disaggregation."It's quite a sizable chunk of cash, around £40m, that you haven't yet agreed with the North.
North Northamptonshire Council said in November it would be pursuing arbitration, meaning an independent third party would settle the matter.