21 Mar 2011 - Summary of consultation results
When we started our 3-year budget for 2010/11 to 2012/13, in spring/summer 2009, we estimated that our budget gap was £60m over that period. This level of savings was required because funding for all Councils was reducing as a result of the banking failure and financial crisis facing the country.
The public consultation helped us identify where savings could be made but it also highlighted where you felt strongly that savings couldn’t be made, for example closing libraries, swimming pools and museums.
The Council has now agreed a package of savings over the 3 year period, totalling £55m. To help explain our decisions and how we agreed these savings, we have a developed a document "Budget Consultation Report (455kb pdf)" which summaries what we asked you, what you told us and what savings decisions were made as a result. We hope that you find this useful.
Full analysis of what we asked you can be accessed below:
- Cllr David Alston, Budget Leader
2010 Budget Consultation -
6 Oct - Budget Consultation update
We are indebted to everyone who took the time and trouble to comment on our budget consultation. The comments, which have been anonymised, will help shape the decisions to be made by the Council as we consider options for bridging a budget gap, which is likely to increase from £36 million to £53 million, over the next three years.
23 June - Council Resources: staff and capital investment
Is the Council right to want a pay freeze for staff?
Budgets for all our services are to be frozen, except for the provision made for costs of staff and energy. Salaries and wages are negotiated at Scottish level and we have made it clear that we want to see a pay freeze for at least one year. This would avoid £4.9m of extra costs each year, and £9.9m if the pay freeze was extended to two years. A pay freeze in times of inflation would in real terms be a cut. Further Potential Savings to 2013 = £9.9m
We need to review our capital investment, what should we consider when doing this?
- Invest in new buildings only where they reduce running costs
- Invest in improving existing facilities rather than new buildings
- Reduce specifications to reduce build costs
- Increase investment in renewable energy systems within buildings to reduce energy bills and carbon emissions
Capital spending pays for new and improved facilities including schools, care homes, roads and bridges, flood prevention schemes, as well as supporting the local economy. In 2009/10 the Council is spending £69m on capital. Just like having a mortgage, the Council borrows to pay for this capital investment over a number of years. The cost of repaying the Council’s borrowing, essentially its mortgage repayments, adds to the Council’s costs. The Council’s fixed general fund assets are valued at approximately £1 billion. By spending less on capital we can reduce the amount we need to pay back. If we reduced our capital programme by £10m in a single year, that could reduce borrowing costs by up to £0.8m per year in subsequent years.
A further way to reduce costs would be to look at our capital investment in terms of design and priorities. Should we be adopting a modular approach to the construction of any new Council buildings? This approach which utilises standard design modules can lead to savings in both build costs and lifecycle costs. It can involve compromises in terms of design flair and the sensitivity of designs to the local context. Alternatively, should we allocate a higher proportion of our capital budget to projects which would reduce operating costs? Schemes to improve energy performance of properties, to change to renewable sources and to reduce waste will help to reduce costs but will divert capital funds from new build programmes.
Strand 2
We need to review our capital investment, what should we consider when doing this?
Read this discussion
16 June - Charging for Services
- Are the public and users of services able to pay more for the services they receive?
- What level of increase would be acceptable to you if it meant the service continued?
No increase - a reduction in service;
3% increase;
5% increase;
10% increase
The Council already charges for a range of services, including school meals, hire of rooms and facilities, commercial refuse collection, leisure centre use, car parking, and burials. We receive income of approximately £68m from these charges. While some of these charges are set externally, for example planning fees, if we increase other charges, or introduce new charges, that would reduce some of the cuts in service the Council is having to consider. The Council would continue to offer concessionary arrangements and discounts to avoid charging certain service users. If we increase charges we control over the next two years, over and above inflation, that would save the Council £3.7m.
Further Potential Savings to 2013 = £3.7m
Strand 1
Are the public and users of services able to pay more for the services they receive?
Read this discussion
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