Bolton: Town budget may face £5.2m cuts

Bolton town hall chiefs could be forced to slash £5.2 million from their budget next year to achieve their target council tax increase of around 3.8% - reports The Bolton News.

The figures were revealed as the Government announced councils would get an effective one per cent increase in funding, allowing them to keep council tax increases within five per cent.

The council's early budget estimates for 2008/09 have raised fears of further job losses and service cuts. It made £10.8 million worth of cuts this year.

That resulted in 202 job cuts, achieved through redeployment, early retirement and not filling vacancies.

Departmental bosses have now been given initial targets for savings next year.

The adult services, culture and community budget, slashed by £4.6 million this year, must cut another £1.3 million.

Children's services must save £790,000, although schools funding is protected.

Other savings include £793,000 from central departments, including corporate resources and legal services, £556,000 from the environment budget, and £162,000 from development and regeneration.

A 3.8% increase in council tax would mean the Bolton Council levy for an average band D home rising £48 to £1,301 per year.

Added to that are police and fire authority precepts, which this year amounted to an extra £164, while in Horwich, Blackrod and Westhoughton there is also a small precept to fund town councils.

Florence Hill, of Bolton's 5,800-member UNISON branch, said: "We are concerned for services and jobs.

"I do not know how the council can keep providing good-quality public services while cutting its budget year on year."

Steve Arnfield, the council's director of corporate resources, emphasised the initial budget estimates could change.

He said: "It's too early to talk about job cuts because we will not know until the end of November what savings options the different departments will come up with."

Council leader Cllr Cliff Morris added: "We are constantly looking at how we can make our services more cost-effective and make improvements for service users and council tax payers."

The forecasts that had been presented to the council's executive were based on an estimated 1.5% increase in the Government grant and business rates to a combined £110 million.

However, Mr Darling's announcement yesterday means the council will get around £500,000 less.