£40m cut-backs decision for council next week
ALMOST £40 million of spending cuts to Highland Council services from next year up until 2015 are on the horizon, it has emerged.
And the local authority’s current ruling administration wants to identify which services the cash could be saved from in the next few weeks – before the new council emerges from the May elections.
Highland councillors will be asked to approve a £602 million budget for the next 12 months, which includes savings of £18.6 million, at a meeting in Inverness next Thursday.
The administration has also proposed drawing up a “multi-year” budget plan for 2013 to 2015 as it anticipates a shrinking pot, despite the fact that many of them may not be around to implement the cuts.
In a report to the council, finance manage Brian Porter said a range of saving proposals could be developed and the incoming administration could then consider taking it out to consultation from the summer onwards.
It comes after the local authority undertook a major three-month consultation in 2010 where they drew up a hit list of 70 possible cuts in a bid to make savings of more than £40 million.
Letters were sent to 14,000 Highland households asking people to make their views known, with community groups and businesses also taking part.
Fewer bin collections, switching off street lights and increasing the cost of school dinners were among the raft of measures which were tabled and implemented.
Mr Porter has estimated that the council would have a budget of about £620.3 million in 2013/2014, with savings of £19.3 million required.
The following year, the budget could slightly increase to £621.8 million but the shortfall would be £20.1 million.
Despite high levels of inflation there has been a cash freeze on council budgets for three years.
David Alston, the council’s budget leader, said there were real benefits to be gained from long-term finance planning with no cuts needed for this year.
“We planned ahead and made the difficult decisions well in advance,” said Councillor Alston (Black Isle). “This shows both the value of three-year budgeting and of asking the public for their views on proposed savings. Our budget consultation in 2010 was one of the most comprehensive consultations carried out by any council in Scotland.
“A new council will be elected early in May and it will be for them to agree these future savings. “There is still a lot of work to do but I am confident that we leave a legacy of sound budget management.”