Havering Council's leader felt a meeting with a government minister on the authority's financial challenges was "positive".
Ray Morgon said the council would continue engagement with under-secretary of state for local government Lee Rowley's office.
Havering has previously revealed it is facing a predicted £70million budget gap to plug over the next four years.
READ MORE: Havering cuts budget gap but still forecasts £14m deficit
It is consulting on next year's budget plans, which include savings measures.
Cllr Morgon said the council explained to Mr Rowley "the challenges we face with our finances" such as "increased costs of social care, inflation and reduced government funding".
"Despite looking at savings our costs are higher than any current or new funding, creating some difficult choices for us," he added.
The council leader also said the authority raised plans for a multi-billion pound data centre in east Havering as a "possible solution" through accruing business rates.
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Cllr Morgon added: “We were pleased that the minister took our issues on board."
A Department for Levelling Up, Housing and Communities spokesperson said the provisional local government finance settlement would see an increase in cash of up to nine per cent for Havering.
“We are making up to an additional £5 billion available for councils in the next financial year, so we can ensure they can continue to deliver vital services," they added.
“We are always ready to engage with councils who are facing financial challenges.”
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