“Some 86% of council chief executives fear that some local authorities will get into serious financial trouble over the next three years, while 56% expect that to happen within one year, research has suggested.
The Local State We’re In 2016, business advisory group PwC’s sixth such survey, asked nearly 100 chief executives and local authority leaders about the challenges facing them.
It found 81% expected some local authorities would fail to deliver essential services over the next three years.
Only 64% of chief executives were confident of making necessary financial savings over the next year without seriously affecting the quality of service delivery – and just 13% thought this performance could be sustained over the next five years.
Fewer than half of councils were prepared for the shift to full business rates retention, though council leaders were slightly more confident about this than chief executives.
PwC’s local government leader Chris Buttress said: “There is real shift in emphasis this year – a focus away from delivering ‘cuts’ towards making interventions that underpin regional economic ‘growth’ and public sector reform. However, leaders and chief executives also recognise the magnitude of the financial struggle and the necessity to find solutions, as the shift continues from grant reliance to self-sufficiency.”
Despite the Government heralding a ‘devolution revolution’, the survey found optimism about progress on this had waned, with only 20% confident of gaining more powers by 2020 against 33% a year earlier.
Although 69% of respondents expected to be part of a combined authority by 2020, only 36% believed this would be overseen by an elected mayor, despite the Government’s enthusiasm for this model. …”
Step 1: Force huge budget cut on local authorities (particularly county councils / unitary authorities) resulting in a much smaller budget and a lot of local unpopularity.
Step 2: Through “devolution” take away more responsibilities (and in the process privatise services and reward party donors). Through “academies” take away more responsibilities (and in the process privatise services and reward party donors).
Step 3: Force local authorities into financial difficulties – and then blame them for poor financial management (see NHS for existing examples).
Step 4: Abolish councils and enable further privatisation in the name of better fiscal management and “the market”.
But don’t bother looking for this in the Tory Party election manifesto. Aside from “austerity”, they have no mandate for any of the above.
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I can-not see how East Devon Council can even talk about sponsoring a 1 Million + road and speak of what they first said would be £8 m, then £12M, now claiming it will be an £18 m Development for Queens Drive.
All this sounds like a Phillip Green and the British Home Stores debacle which has gone bust.
Maybe this will happen with EDDC if they go ahead with this fiasco
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