07 November 2006

Efficiency: English race ahead towards efficiency

English local authorities are aiming to make almost £80M in efficiency savings on their highways and local transport services this year, according to latest figures released by the Government. Overall, councils are on course to deliver £1.3bn worth in 2006/07, compared with £1.1bn last year and £760M in 2005/06. If achieved, local government would meet its £3bn Gershon target 12 months early, said local government minister Phil Woolas. The ‘forward look’ efficiency statements predict gains of just £78M for local transport services, of which £62M will be ‘cashable’. Of this, highways accounts for £54.6M – £43M cashable – and other transport services £23.7M – almost £19M cashable. Environmental services should see efficiency gains of £102M – surpassed only by procurement (£138M), corporate services (£197M), and adult social services (£214M). Cashable savings nationally will be double their 1.25% target, if councils perform up to their expectations. The breakdown by local authority shows that Essex County Council is predicting greater highways savings than any other authority at £4.5M, all cashable. Hampshire County Council is next with £3.8M (£780,000 cashable), followed by Kent County Council at £3.2M (all cashable). Birmingham (£2.1M) and Sunderland city councils (£1.2M) lead the way for the mets. Three authorities anticipate gains of around £1M or more on non-highways transport services – Westminster City Council (£1.9M), Lincolnshire County Council (£1.2M, half cashable), and Newcastle upon Tyne City Council (£980,000, mostly cashable). The London Boroughs of Tower Hamlets and Camden, which are not predicting any highways gains this year, expect bumper savings in environmental services of £3-3.5M each, – £2M cashable for the former. Kent, Trafford Metropolitan Borough Council and Northumberland County Council are also promising savings in this area of £2M-plus. • Annual efficiency statements 2006/07 forward look : www.communities.gov.uk/ index.asp?id=1500619
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