ALMOST £100 million is locked away in the piggy banks of Worcestershire’s councils, the police and fire service.
With severe spending cuts on the way that are likely to cost more than 1,000 jobs across the county, Communities Secretary Eric Pickles has urged chiefs to dip into their own pockets before they slash services.
According to figures released by the Department for Communities and Local Government, there is £92.8 million taxpayers’ money waiting to be spent in the county.
The Government says Worcestershire County Council, which is looking at having to save more than £60 million, possibly more, by 2015 has £53.6 million in its reserves but chiefs at County Hall say only £17 million is available as other funds are set aside for specific purposes.
The £53.6 million figure represents 7.4 per cent of its overall £720.2 million revenue expenditure budget.
Councillor Adrian Hardman, leader, said: “While we wouldn't rule out using general reserves to help smooth over the path towards the savings we are going to have to make over the next four years, it is important to remember this is money that you can only spend once.”
A comparison of district councils in Worcestershires shows Wychavon District Council has by far and away the most in its reserves – £8.5 million, which represents 49.8 per cent of its overall £17 million revenue budget.
Councillor Paul Middlebrough, leader, said that was a result of good financial management.
“That approach has been endorsed by external auditors and it’s helped us keep council tax bills at the eighth lowest level in the country,” he said. “It’s also enabled us to be more adventurous and innovative than many local councils, for example by building the Waitrose in Droitwich which has played a major role in stimulating growth in the local economy.”
A Worcester City Council spokesman said its reserves of £1.9 million, which represents 12.6 per cent of its £15.4 million revenue expenditure budget, is in line with Audit Commission recommendations.
West Mercia Police Authority has £16 million to call upon – 7.2 per cent of its £221.2 million revenue expenditure budget.
Chairman Sheila Blagg said the authority has “a fantastic reputation” for delivering value for money which was recently recorded by Her Majesty's Inspectorate of Constabulary (HMIC).
She said it was important to have reserves as policing is unpredictable.
She also said the next few years will be “challenging” for them but added any spending plans will not become clear until the authority knows exactly how much money it will get.
How much is in the bank?
• Bromsgrove – £2.6m • Malvern Hills – £2.1m • Redditch – £2.2m • Worcester – £1.9m • Wychavon – £8.5m • Wyre Forest – £3.2m • Worcestershire County Council – £53.6m Hereford and Worcester • Fire and Rescue Authority – £2.7m • West Mercia Police Authority – £16m Total: £92.8m
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