Councils to review services deal after joint chief executive goes

The pioneering initiative has won national acclaim after civic services were merged by the district councils covering Richmondshire and Hambleton in North Yorkshire.

However, opposition councillors have warned that the authorities risk becoming “the laughing stock of Yorkshire” if the move to share key services is aborted.

The scheme has achieved £2.6m savings over three-years, but Conservative members in Richmondshire have claimed the austerity drive is under grave threat.

Speculation has been mounting over the agreement’s future after Hambleton District Council announced earlier this month that it was ending an arrangement where a chief executive oversaw both authorities.

A new management team will be dedicated solely to Hambleton after the former chief executive, Peter Simpson, stood down following complaints over his “abusive and dominating” behaviour.

Richmondshire District Council’s Tory group leader, Fleur Butler, claimed it would be “a disaster” if a new way of working cannot be negotiated with Hambleton.

She added: “To go from being an award-winning council for the huge efficiencies made of over £2m for both councils and innovative thinking, to a refusal to work with our partners in less than a year would make us the laughing stock of Yorkshire.”

The council’s Independent leader, John Blackie, is adamant the principle of sharing services will continue, although he admitted it could be with other local authorities.

But he claimed that several attempts to hold meetings with Hambleton District Council’s leader, Neville Huxtable, and its new chief executive, Philip Morton, had so far proved unsuccessful.

Councillor Blackie added: “Shared services will still be part and parcel of the way we do business, but whether this is with Hambleton or another authority has yet to be decided.”

Councillors in Richmondshire have agreed to push ahead with a review of all shared services in a decision which Coun Blackie described as a “watershed”.

The first due to be reviewed include economic development, committee services, building control and emergency planning which have been deemed easiest to split. A further two tranches will then be looked at – the last of which are seen the most difficult to separate and could remain shared between the two councils. These include waste collection, street cleaning, housing benefit and council tax services.

Coun Blackie confirmed informal discussions had already taken place with North Yorkshire County Council, and talks are due to be held with Eden District Council in Cumbria about sharing services.

The future of the shared services arrangement was thrown into question after Mr Simpson stood down from his role as the joint chief executive of both authorities.

However, he will remain an employee of Hambleton District Council for the next 12 months and will be paid about £62,000 without having any dealings with the authority’s staff.

He will instead work on projects for the District Councils Network.

Richmondshire District Council’s deputy chief executive, Tony Clark, who is overseeing his authority in the interim, confirmed that shared services could be split by the end of the year.

He said: “It is inevitable that there will be change, but the extent of that change has yet to be decided.”

Hambleton District Council’s cabinet is due to debate the review of shared services at a cabinet meeting on June 12.

A spokeswoman said: “It would be inappropriate to comment until after the meeting.”