Department directors have been working over the last few months to draw up a list of options to help address the financial challenges caused by the reduction in funding from central government. These lists have been finalised in recent days following on from the announcement by Secretary of State on Monday 13 December.

The detail of the settlement are currently being analysed although initial indications are that Bury will face a 13% cut in general Government grant for 2011/12.  This equates to a budget cut of at least £12m.

Locally, the council’s four directorates – chief executive’s, adult care services, children’s services, and environment and development services - have drawn up initial savings totalling £5.3m. A further £3.8m has been found by adjusting budget assumptions, by making use of funds that were previously set aside for investment into priority services and by other general savings.

Whilst we are still finalising the proposals, early indications suggest that these budget saving proposals may affect 124 FTE positions.  Many of the posts highlighted as part of these budget savings may currently be vacant or they may be positions where staff have agreed to take voluntary severance or early retirement. For those, where staff are affected line managers will offer the help and support.

It is important to note that these are budget options for consultation, and no decisions have yet been made. Bury Council is asking residents for their views on budget options for the coming financial year.
Residents can ask questions about the options, and make their own suggestions, by visiting the Council’s web-site. A public consultation meeting will also be held during January before the budget is formally set by a special meeting of the full council on 23 February 2011.

These proposals provide the first round of savings to be considered and further information will be released in January about the next round of savings.

Councillor Bob Bibby, Leader of the Council, said: “This is a tough local government finance settlement and it brings with it many challenges. We learnt from central government that we face a £12/13m cut and whilst I will do all I can to protect front line services and jobs, there will inevitably be some difficult decisions to make.

The proposals outlined today are the first round of cuts we need to take place to allow us to make sure we address the financial challenges ahead. I would encourage local residents to have their say as part of the consultation process. These cuts will be difficult for all and they are not decisions any council leader wants to make, but they are, in this financial climate, necessary”.

The budget options can be viewed online via the council’s website http://www.bury.gov.uk