Council sets out restructuring plans to save £11.1m, warns of 'consequences' to frontline services

The proposals include restructuring services, finding efficiencies across its organisation and ‘staff savings’.

Telford & Wrekin Council is due to start consulting over its budget for the 2024/25 financial year on Friday.

The spiralling cost of adult social care and safeguarding vulnerable children has resulted in a proposed council tax increase of 4.99 per cent.

The council tax increase is proposed to contribute £4.04million towards the £13.5m additional investment towards the services.

Telford & Wrekin Council’s cabinet are set to meet on Thursday when they will discuss proposals for the next financial year.

To balance the books a report to councillors proposes to make £17.8m of savings in the 2024/25 period.

This includes £5.6m from income generated by the council’s housing company Nuplace along with leisure services and trading operations.

Also proposed is £2.78m in savings from service restructures and 'staff savings' across the organisation. The report has highlighted £6.8m in savings from ‘various other efficiencies’ from across the council. Savings also include £1.6m from service review and re-design.

Since 2019 the council has made £156.9m in annual savings which the council says equates to £1,900 per annum for every household in the borough.

“Despite the proposed 4.99 per cent council tax increase, it is necessary for the council to find further budget savings in order to deliver a balanced budget without using an unsustainable level of one-off balances,” says a report to councillors.

“In delivering these savings, we have applied the principle of ‘as far as possible minimising the impact on priority frontline services’.

“This principle remains at the core of our current strategy although it is now inevitable that we have to increasingly put some savings proposals forward that will have significant consequences on frontline services.

“After having delivered £156.9m of annual savings by the end of this year, it is clear that further cuts will be more challenging.

“Clearly the council will seek to minimise impacts on our community by working with town and parish councils, local community groups, service users, the voluntary sector, volunteers and other partner organisations.”

Since 2009 the council has reduced its senior management team by half. Back office costs have also been cut by over half, saving £14.9m a year.

The council has also ‘disposed of’ 29 buildings including the former Civic Offices building, Wellington Civic and Addenbrooke House.

“Next year with the additional investment required being funded through further budget savings including further reductions to staffing budgets,” the report adds.

“With staff adapting to home working, a new hybrid mix of office and home working has been implemented which has enabled further reductions in accommodation budgets.”

The council’s main Budget Strategy Reserve has an ‘uncommitted’ balance of £21.7m. The council holds £8.7m set aside for one-off costs associated with the equal pay settlement.

A general contingency of £3.95m in 2024/25 is held within the corporate core with a further £10m for inflation and pay awards also held centrally.

A four-week public consultation on the budget plans will begin this Friday, January 5 – after the council’s cabinet has received the proposed budget.

A further report will then be considered by the council’s cabinet on February 15 before being recommended to a full council meeting on February 29.

Comments can be sent to the council by emailing: yourviewsmatter@telford.gov.uk.