Districts sceptical over efficiency targets
Author: Local Government Chronicle - May 28, 2009
District councils are more sceptical about their ability to meet the government’s extended efficiency targets, according to a Localis survey.
Almost 60% of lower-tier authorities felt the government’s new target for local government to make £5.5bn of efficiency savings by the end of 2010-11 was unachievable, according to a snapshot survey by the thinktank.
Districts made up the majority of the sample surveyed, and just 12% of upper, and single-tier authorities felt the target was unachievable.
“Even those district councils that felt they could achieve the efficiency savings felt it would have a significant impact on other areas,” said report author Tom Shakespeare.
The survey found front-line services would be targeted for savings.
While more than three-quarters of the respondents said back-office functions would be the most likely area where savings would be sought, more than half (58%) also pointed to leisure services. Just under half (48%) said environment and community services would be a target for savings.
The survey of 50 council chief executives, leaders or directors conducted earlier this month, painted a mixed picture over the government’s decision to raise the top-rate of tax to 50% for those on salaries above £150k.
More than a third (38%) felt the rise would have a negligible impact on their local economy but more (40.5%) felt any impact would be negligible.
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