A single unitary council in Leicestershire would save over £30m a year and reduce council tax bills by 3.1%, according to a new independent report.
The report has been commissioned as the county council tries to find savings of £110m by 2018. It found that the cost of setting up a new council - £12.8m - would be repaid in just over a year through reduced management and support service costs.
The report, published by consultants Ernst and Young, also found dissolving the county council and seven districts and borough councils would cut the number of councillors in Leicestershire from 316 to 100. The savings achieved could also lead to a reduction in council tax of more than £7m per year across the county.
Leader of Leicestershire County Council, Nick Rushton, said: ‘We commissioned the report following a strong steer from Council Taxpayers and local MPs.
‘People who responded to our budget consultation last summer said they wanted fewer councillors and public service organisations. And when we briefed MPs about our financial situation, they mooted the idea of a unitary council.
‘I’m not commenting on the conclusions today and I’m not advocating an immediate campaign, either for or against. But, at a time we must save a third of our budget and front-line services have to be reduced, this report is an important contribution to the public debate. We’re happy to hear from members of the public.’
