Council chief's budget fears
READING'S ruling Labour leader has warned to expect a financial "tipping point" as her administration unveiled its budget proposals this week in the face of shrinking Government handouts.
Reading Borough Council will get a £2m rise of ring-fenced school funding for 2012-13 but £5.6m less in other grants - excluding the £2.5m it will get for freezing council tax - and expects to lose £12m more by 2015.
But despite the Labour group's proposed budget containing few frontline service cuts - with the bulk of savings, £5.3m, coming from efficiency measures - council leader Jo Lovelock remains critical of the Coalition.
Cllr Lovelock warned only so many such savings can be found before the group is forced to turn the axe on the frontline.
She added: "We have always striven to find efficiency savings and we will go on doing that.
"When you get that scale of reduction it gets harder and harder to find savings without a reduction in frontline services.
"We are very pleased we are finding it this way but nevertheless, it's going to be tough and we are asking council staff to work even harder than they already do and where is the tipping point?
"I don't think the Government really understands that."
The administration plans to cut only a "handful" of jobs, with around 30 people expected to take voluntary redundancy or early retirement, and is also proposing a pay freeze.
The £120m budget also includes £2m of savings from service changes, particularly in adult social care and youth services, and £3.9m from changes made this year, such as merging education and children's services with housing and community care.
A £1.4m pot of extra income is also proposed, including £113,000 by running more activities and events at the borough's parks, £100,000 from advertising revenue and a 5.5% increase in temporary accommodation charges.
Cllr Lovelock said the biggest threat to the budget, which is due before cabinet on Monday and full council on February 21, is the unpredictable area of child protection.
She explained: "You only need one large family to be taken into care and the budget for that is huge."
The minority Labour administration will need support from at least one opposition councillor and another to abstain to pass its budget.
The opposition vote and abstention would leave Reading mayor and Labour councillor, Deborah Edwards, with a casting vote.
This article appeared in Reading Chronicle 09 Feb 12
Have your say. Post a comment on this article.
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Pilgrim
Unregistered User
Feb 11, 17:10
Report commentA bit rich any Labour member bemoaning a lack of funds considering they were the ones who ran the UK into the ground in the first place. You reap what you sow love although having said that we've all reaped the dividends of your lax immigration policies and frivolous over-spending...
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Joanna Leach
Unregistered User
Feb 11, 17:59
Report commentFrankly 'Pilgrim' your comment is boring. Everyone knows Labour did not handle the economy well and as a result they lost the 2010 election, but to continue on about in 2012 when at least Labour in Reading are making efficiency savings and not the ballsed up attempt by the nutters last year to just cut random things and introduce fees is in my mind a positive step.
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