Councils' co-operation seen as ideal way to cut costs

Plans for more civic services to be combined between the district councils covering Hambleton and Richmondshire in North Yorkshire have been drawn up – and are expected to save more than 2m over five years.

The decision was taken two years ago to merge services for both districts, and the move has already saved 851,000 for both councils.

Combined services include refuse collections and computer systems – as well as a joint chief executive, Peter Simpson.

Up to eight authorities from as far afield as Leicestershire and Buckinghamshire are understood to have asked for details as they look to merge their own services with neighbouring councils to combat the Government's public sector spending cuts.

Environment Minister Lord Henley also visited Richmond in August as part of a fact-finding mission to see how local authorities are attempting to increase recycling and improve refuse collections while battling to curb costs.

Richmondshire District Council leader, Councillor Fleur Butler, said: "The levels of cuts that local authorities are facing are severe but the situation is an awful lot better for Richmondshire and Hambleton than it could have been.

"We took the decision to merge a series of services two years ago, and this has helped us put in place cost-saving measures which are helping us cope with the Government's cuts. We have done something that is innovative and it is attracting interest from across the country.

"Both councils are definitely punching above their weight as we are small authorities covering rural areas, but the benefits are clear to see."

Plans to merge five more services including committee and electoral services, local land charges and economic development as well as finance and development management were approved by Richmondshire councillors on Tuesday evening.

Councillors in Hambleton are expected to give their backing to the proposals at a cabinet meeting next Tuesday.

Proposals are also being drawn up to combine other services including emergency planning, customer services and business support.

Hambleton District Council is expecting to have to cut its current annual 9.6m revenue budget by as much as 3m over the next four years. In Richmondshire, the district council's 7.7m annual revenue budget is due to be reduced by up to 1.7m during the same period.

It is hoped that redundancies will not have to be enforced, although 19 posts have been lost in Hambleton as part of the efficiency drive. A figure on the reduction of council posts in Richmondshire has yet to finalised.