Sheffield City Council has suspended its head of adult learning disabilities services after audits forecast millions in budgetary overspend.

While the local authority emphasised that it did not suspect a ‘budget discrepancy', it was forced to take action against Josie Bennett after an audit projected the department could exceed its £35m budget by as much as £7m during the current financial year of 2013/14.

Work will be undertaken to reduce projected spending in the communities and social care budget, the council said.

While both Sheffield City Council and Sheffield Heath and Social Care NHS Trust employ Bennett, her suspension only extends to work with the council.

A Sheffield City Council spokesperson said: ‘There is not a budget discrepancy in the communities social care budget. There is a projected overspend which has been identified and the council is taking action to make sure that projected spending against this budget is brought down.

‘We are not in a position to comment further on matters relating to individual members of staff.'