The press focus on the cuts in Government grants to councils in the UK often overlooks what has been achieved, and creates a perception that there is a lot of fat to be cut.
This is not the case.
Take, as an example, Harlow Council, which has:
- transformed itself from being judged ëPoor’ (one of the worst councils in the country in 2004) to jump three of the four categories to ëGood’ in three years – only the second council to achieve this progress
- over six years generated combined efficiencies, savings and new income amounting to approximately £13 million. This is equivalent to the total planned nett General Fund Budget requirement for 2011-2012
- kept its element of Council Tax for 2011-2012 at the same level as 2010-2011, which was at the same level as 2009-2010. Three out of the previous four year’s increases were below inflation
- since 2003-2004 reduced the management structure from 27 posts to nine. Staff numbers have been reduced from approximately 1,100 in 2003-2004 to less than 500 in 2010-2011 (including transfer of 400 posts to the joint venture created below)
- created a joint venture with the private sector for service provision, which, in its fifth year, is on track to save approximately 10 per cent on its £135 million expenditure over seven years. Council is currently finalising an agreement with another private sector company to invest in and manage its crematorium and cemetery operations
- led partnership working with the voluntary, public and private sectors to deliver more than £50 million of regeneration projects, including a new £25 million leisure centre operated by a non profit distributing trust. More than 600 new homes are also being delivered with approximately one third of these ësocial’
- progressed partnership working with other councils for services including building control, economic development, emergency planning, environmental health, human resources, internal audit, insurance, legal services and revenues and benefits
- led the coordination of public sector expenditure in its area by being the first district council nationally to develop its own Local Area Agreement
- streamlined its lettings process for the 10,000 houses for rent it owns by being one of the very first councils to introduce the customer focused Choice Based Lettings System
- consistently achieved top quartile performance for a range of services and won several awards for innovation and community engagement.
The Comprehensive Spending Review has resulted in Harlow Council having cuts in its Government Revenue Support Grant of 16 per cent in 2011-2012 and 10 per cent in 2012-2013.
Given the progress that has already been achieved, there are no easy options to achieve the savings required.
The service portfolio, how services are provided, costs and performance have all been transformed.
Key challenges now are service resilience, access to capacity, access to specialist skills, access to investment, the political sensitivity of remaining services and managing the expectations of the public.
In the past, the frequency of transformations was generational. Today they are required much more frequently.
This is a huge challenge for councillors, staff and citizens.
*Malcolm Morley is Chief Executive of Harlow District Council and can be contacted via the Editor, email info@lgfocus.com.au The views expressed in this article are not necessarily those of his employer.
