Solihull Council cuts £15m from public spending budget

Council workers in Solihull received cold comfort as the borough’s budget was set – with bosses needing to make more than £15 million of savings.

The authority managed to avoid putting up council tax bills but leader Coun Ian Hedley admitted tough times lay ahead and could give no assurances on job security.

Speaking as the council’s budget was unanimously supported by members at meeting. He said: “This has been one of the most difficult budgets this council has ever experienced.

“I cannot guarantee there won’t be job losses as a result of reduced funding but I have been clear that we will not be having a council-wide redundancy programme.”

Staff pay, however, will be frozen and pension contributions are set to rise

The budget agreement means Solihull residents will continue to pay £1,321 in council tax for an average Band D property, including payments for police and fire services.

But the figure does not include parish council precepts – with residents in certain parts of the borough facing hikes of up to 23 per cent in that element.

The council’s budget for 2011/12 stands at £148.48 million.

Despite a £9.6 million cut in Solihull’s Whitehall grant, Coun Hadley confirmed £1 million would be invested in services for children and young people and that all 14 of the borough’s children centres would remain open.

The £15.2 million Solihull Council has to save in its budget will come from up to nine different departments.

A total of £5.3 million will come in savings from ‘back office services’, £2.3 million will be clawed back from year-long ‘lean reviews’ of services and another £2 million-worth will be made in ‘cross-cutting savings’.

Coun Hedley said a further £5.6 million would need to be saved as a result of ‘local demand pressures’.

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