IW Council Reaction To Government Spending Review

This just in from the council. Ed

IW Council Reaction To Government Spending ReviewYesterday (20 October) the Chancellor announced the Comprehensive Spending Review (CSR) which sets out the coalition government’s four-year spending plans.

The local government settlement is one of the toughest councils have faced and follows from the government’s commitment to reduce the financial deficit. The full implications of the announcements are still being evaluated

One headline figure is the 26% cut in the overall local government budget over the next four years. This cut will however be weighted toward a much higher reduction in 2011/12. It is difficult to assess the direct impact on the IW Council budget at this stage as more information is required regarding the much reduced grant funding streams that will be made available. But clearly there will be some difficult decisions to be made in the near future. The announcement also sets into context moves the council has already taken to control its spending.

The IW Council welcomes the greater freedom to deploy the resources allocated to it by the government actions to remove ‘ring fencing’ from much grant funding but recognises that difficult decisions will have to be made to manage our services within budget. Further details on the impact of these grant reductions will not be available until the individual council funding settlements are decided later in the year.

David Pugh, IW Council Leader said: “This review emphasises what we have been saying for some time – that both the type of service the council is able to deliver and also the way we deliver these services are going to have to change substantially.

“We had already begun preparatory work on how we might manage a significant reduction in grant and officers will now work with the Cabinet to bring forward these plans for debate at our 7 December Cabinet meeting.

“We will make every effort to ensure that services that are essential to residents are maintained, targeting limited resources to those who have the greatest need and by reducing unnecessary bureaucracy where ever possible.

“We are delighted to see that the council’s Highways PFI is to be included in the government’s programme and we will be actively working with the DfT to progress our scheme as quickly as possible and in line with the announcement that the project is to be delivered affordably.

Steve Beynon, Chief Executive said: “We have recently held a number of sessions with staff where they brought forward their ideas on how we can reduce costs and provide services differently.

“We are considering these suggestions and will be providing feedback to staff as well as incorporating some of the ideas and suggestions into the report to Cabinet in December. We will also be exploring ways in which we can work with other public sector agencies, parish and town councils, the voluntary sector and community groups in order to sustain services which we may no longer be able to provide in their current form or at current cost.”

The council has already taken a number or steps to reduce expenditure and is currently consulting on a number of proposals including those with regard to adult social care and aspects of learning disability support.

Image: Katerha under CC BY 2.0