Problem: Article: The ex-Sheffield Brightside MP said he fears residents could end up "paying the price" for costs of the two-year hearings.
South Yorkshire Police's legal bill for the inquests totalled £25.1m.
The Home Office said it had paid £20m of legal costs incurred by the force.
Figures released by the office of the South Yorkshire Police and Crime Commissioner show that the force's legal costs for the inquests amounted to £25.1m.
Of those costs, £20.4m was covered by special grants awarded by the Home Office, meaning the force has had to pay £4.3m to cover the outstanding legal bill.
It is unclear whether the force or the Home Office will pay £400,000 in remaining unpaid fees.
An analysis of the force's legal costs by the BBC has determined that each household in South Yorkshire eligible to pay council tax has effectively contributed £12 towards the payment of the force's outstanding legal bill.
Lord Blunkett called on current Home Secretary Theresa May to ensure front line policing in the region does not suffer financially.
"The force has already had to deal with a reduction in its budget as part of the government's austerity programme," he said.
"But then on top of that they are having to deal with the costs of Hillsborough, an investigation into child sexual exploitation and grooming in Rotherham, and also allegations of malpractice during the Miners' Strike.
"The people of South Yorkshire were not responsible for the disaster in 1989. They should not be at the receiving end of a reduced police service and that is why the Theresa May must work with the PCC to ensure that South Yorkshire people do not pay the price for what happened in the past."
The latest accounts for the force show that it has already begun to draw on its financial reserves in order to pay its legal costs.
In 2015/16, South Yorkshire Police had overall reserves worth £44m.
It directly withdrew £2.4m in the same year to pay its legal fees in connection to the inquests, while its 2016/17 budget shows the force is expected to draw a further £3.9m from its coffers.
It is unclear from the accounts if all of the money withdrawn from the reserves will be spent on legal costs.
Public bodies such as local councils and police forces keep financial reserves in order to make up short-term budget deficits.
£12 per household
The amount each council tax paying household in South Yorkshire has contributed towards the force's legal costs
£25.1 million The total amount South Yorkshire Police ran up in legal fees during the inquests.
£4.3 million The amount the force have directly paid out to cover the legal costs.
£400,000 In legal fees remains unpaid.
After the ruling that all 96 Liverpool fans who died at Hillsborough were unlawfully killed, concerns were raised about the effect future legal proceedings could have on South Yorkshire Police's finances.
Writing in the 2016/17 Budget report, Allan Rainford, the Police and Crime Commissioner's Chief Finance and Commissioning Officer, said the force "cannot depend on grants from the Home Office to fully meet its legal costs".
As a result, the latest budget shows the force is planning to set aside at least £7.2m a year for the next four years to deal with "legacy issues".
When asked if the Home Office would continue to cover the force's future legal costs in relation to the Hillsborough disaster, a spokesperson said: "Any subsequent requests will be considered in the normal way."
Answer: [[Former Home Secretary Lord Blunkett has said front-line policing in South Yorkshire should not suffer as a result of legal fees incurred by the Hillsborough inquests.]]

Problem: Article: PC Neil Culham, 42, denied touching the woman after he arrested her in Clacton, Essex, in 2012.
She said he also forced her to touch him in the groin when she answered bail at the police station two months later.
Mr Culham, of Ardleigh Road, Dedham, was found not guilty after a trial at Ipswich Crown Court.
He was working for Essex Police when the woman, who cannot be named for legal reasons, was arrested on suspicion of harassing her former partner.
Answer: [[A policeman accused of touching a woman's thigh and kissing her while driving her home from a police station has been acquitted of all charges.]]

Problem: Article: The world number 48 began the final day in third, two shots behind co-leaders Justin Rose and Jim Furyk.
But as they both shot over par, Lowry carded four birdies in a 66 to finish on 11 under, ahead of Bubba Watson.
American Watson shot a 66 while Rose posted a 72 and was four shots adrift with Furyk in joint third.
Lowry, 28, who won the Irish Open as an amateur in 2009, earns a three-year exemption on the PGA Tour for his victory in the co-sanctioned event.
"It's hard to believe but I played good and hit the ball well," said Lowry. "I was nervous but made a lot of good decisions and had a bit of luck as well. It's great for me and everyone who has supported me over the years."
Lowry, who first played on the PGA Tour in 2009, moved two shots clear at the 10th when a remarkable shot from thick rough to the left of the fairway sailed over a huge tree and finished a foot from the flagstick.
At the 14th, he drove into a bunker but holed a key putt for par from 15 feet.
Watson, who won the WGC-HSBC Champions event in Shanghai in November, closed to within a shot of the burly Irishman with his seventh birdie of the round at the 17th.
He then drove 379 yards down the final fairway but could not hole a birdie chance from 28 feet and finished with a round of 66.
Lowry was down the left again at the last - but from more thick rough, he played over more lofty trees to the heart of the green and holed for a memorable closing birdie.
Final pair Furyk and Rose made only two birdies each, and by the time they completed their rounds, Lowry was already celebrating victory.
Rose, who had a 63 on Saturday, chipped in for a birdie at the ninth but missed a series of short putts.
Furyk recorded his 10th top-10 finish in the Bridgestone but has now failed to win 10 tournaments in succession in which he led or shared the lead after 54 holes.
Jordan Spieth had set the early clubhouse target on four under after a final round of 66, but that was never going to be enough for the victory which would have seen him replace Rory McIlroy as world number one.
Answer:
[[Ireland's Shane Lowry captured his first title in the US with a two-shot win in the WGC-Bridgestone Invitational at the Firestone Country Club in Ohio.]]