District freezes council tax but front-line services stay

Despite a £1m drop in Government funding, the council’s spending plan for the next financial year confirms there will be no Council Tax increase.

The council has announced a net revenue budget of £6.787m for 2011/12 following a 15.2 per cent funding cut from the Government.

Financial management over the last two years says the authority will be able to deliver a balanced budget in the next financial year.

Council leader Chris Knowles-Fitton said: “These are tough times and this has been an exceptionally difficult budget to set. The council has done a remarkable job in presenting a balanced budget without making cuts in front-line services.

‘‘It is quite an achievement to be able to put money into our reserves, and make savings in excess of £600,000 without increasing council tax for our residents. Because of the 15.2 per cent drop in funding, we propose to save £1m from the cost of delivering our services.

‘‘Seventy per cent of these savings come from back office services.

“This means that, during 2011/12, we can continue to protect front line services that are vital to our residents. The council has cut nine management posts from 16 to seven over two years, saving £400,000.

‘‘A substantial proportion of the savings will be made through more efficient service delivery, and in particular through improvements made to waste and recycling collections.

Coun Knowles-Fitton added: “From the outset, we had a clear remit to protect frontline services – areas that are a priority for our residents such as street cleansing and waste management.

‘‘The council had long anticipated the likely implications of the Comprehensive Spending Review.

‘‘It had already agreed the Concordat and was seeking to save money over the long term by sharing office accommodation with NYCC at Belle Vue Mills.

‘‘Such forward thinking has put us in a strong position to present a balanced budget for 2011/12.”

The council has also recommended an indicative savings package of £635,000 for 2011/12 to address the future funding shortfall. The budget will be subject to confirmation at a full council meeting on Wednesday.