Council profligacy – a primer

A comment on the post on Northamptonshire County Council financial mismanagement:

“Copied from TaxPayers’ Alliance:

Northamptonshire County Council

Earlier this week many news outlets reported that Northamptonshire County Council may have to cut essential services as they need to find £70 million worth of savings.

It is worth highlighting some of the wasteful spending that has led to this dreadful situation.

• £53 million on a new HQ, which they then sold and leased back
• a course on how to wear a scarf ‘more effectively for their personal style’
• £350,000 payouts to staff on ‘injuries from poorly fitting outfits’
• £95,000 golden handshake for chief exec, just for leaving his job
• 23 councils executives on more than £100,000

Residents of Northamptonshire are unfairly paying the price of financial mismanagement. The TPA has always maintained that councils must focus their spending on frontline services and not frivolous non-essential expenditure. We hope other councils will take heed and that similar disasters can be averted in future.”

“Virgin awarded almost £2bn of NHS contracts in the past five years”

“Virgin has been awarded almost £2bn worth of NHS contracts over the past five years as Richard Branson’s company has quietly become one of the UK’s leading healthcare providers, Guardian analysis has found.

In one year alone, the company’s health arm, Virgin Care, won deals potentially worth £1bn to provide services around England, making it the biggest winner among private companies bidding for NHS work over the period.

The company and its subsidiaries now hold at least 400 contracts across the public sector – ranging from healthcare in prisons to school immunisation programmes and dementia care for the elderly.

This aggressive expansion into the public sector means that around a third of the turnover for Virgin’s UK companies now appear to be from government contracts. …

Sara Gorton, the head of health at the trade union Unison, said: “The company has been so keen to get a foothold in healthcare, it’s even been prepared to go to court to win contracts, moves that have cost the NHS dearly.

“While the NHS remains dangerously short of funds, taxpayers’ money shouldn’t be wasted on these dangerous experiments in privatisation.”

One former surgery manager who spoke to the Guardian said Virgin appeared to be paid more for doing less in her area, although the company said “because the contracts are generally not directly comparable, we don’t believe it to be true”.

Guardian analysis reveals the way the company that began selling records in the early 1970s has diversified in a bewildering way over recent years. …

In March 2017, it had almost 1,200 staff – a five-old increase from the year before. Over the same period, its turnover increased from £133m to £204m and its operating profit rose from £7.3m to £8m.

Though healthcare is a growing part of the group, Virgin still appears to make most of its money from transport.

Virgin UK Holdings, the UK business which holds its rail and healthcare ventures, reported revenues of £1.5bn in 2016 and paid £22m in tax.

Earlier this year, Virgin Trains had its west coast line franchise extended for another year. …

Paul Evans, the director of the campaign group NHS Support Federation, said: “Virgin Care are the biggest private sector winner to emerge out of the NHS experiment with competition and outsourcing.

“We don’t know the final shape of it, but players like Virgin and Care UK clearly see a big opportunities for business to continue to deliver clinical services for the NHS.”

https://www.theguardian.com/society/2018/aug/05/virgin-awarded-almost-2bn-of-nhs-contracts-in-the-past-five-years

How will DCC deal with this judgment on special needs and disability funding?

Has DCC done the same as Bristol? It appears so to this layperson.

If so, what next?

“A rolled-up hearing took place on Tuesday, July 24th at Bristol Civil Justice Centre to challenge Bristol City Council’s decision to reduce special educational needs and disabilities (SEND) spending by £5m in the local area.

Represented by Simpson Millar’s Public Law and Education Team two families affected brought the legal action amidst ‘significant concerns’ that the council’s decision was unlawful. The Judgment has been handed down and the Court has concluded that the decision making process, completed by Bristol City Council was legally flawed.

Simpson Millar Partner and education law specialist, Samantha Hale commented:

“We had significant concerns that the council did not follow the appropriate procedures and legislation in making these reductions, and did not properly consult those likely to be impacted. The decision shows that the Court shared our concerns, finding in favour of the two families who brought this claim”.

“The Court concluded that the process completed by Bristol City Council before reaching its decision was flawed. Furthermore, the Court confirmed they were unable to determine what the outcome would have been in the absence of the legal errors. The Judge held that “full funding might have been allocated’”.

“Bristol City Council will now have to reconsider its funding allocation to the High Needs Block budget and to do so in a lawful way, as the Court has confirmed that the High Needs Budget will be quashed. This is a very important recognition that while Local Authorities may have to cut budgets, they may only do it, if it is done lawfully”.

“Our clients hope that Bristol City Council will recognise the serious concerns about SEN services and outcomes reflected in the Judgment when taking the new funding decision”.”

https://www.simpsonmillar.co.uk/news/decision-to-reduce-special-educational-needs-and-disabilities-send-spending-by-5m-5431

“Advertised broadband speeds fall dramatically after rule change “

“Broadband providers have dramatically cut their advertised speeds following a recent rule change to prevent misleading claims, a consumer group has found.

Which? analysis of the UK’s biggest broadband providers found that 11 have had to cut the advertised speed of some of their deals since the new rules came into effect in May, with the cheapest deals dropping by an average 41 per cent.

The move has forced a number of providers to admit that they offer 10Mbps or 11Mbps, which is widely considered as the slowest acceptable speed for home internet.

These include BT, EE, John Lewis Broadband, Plusnet, Sky, Zen Internet, Post Office, SSE, TalkTalk and Utility Warehouse.

Previously they all advertised their standard broadband deals as “up to 17Mbps”, around a third higher.

Under the new tougher rules, home broadband providers must now ensure that at least 50 per cent of their customers can achieve advertised speeds during peak times.

They had previously been allowed to advertise “up to” speeds as long as they were available to a minimum of just 10 per cent of customers, resulting in widespread complaints from Government, consumer groups and the public.

Which? found that across all the deals on offer from the 12 biggest providers, the advertised speeds from “up to 17Mbps” to “up to 100Mbps” had decreased by an average 15 per cent. …”

https://www.telegraph.co.uk/news/2018/08/03/advertised-broadband-speeds-fall-dramatically-rule-change/

US luxury property website: “Rental Values Sink in London, Rise in the South West of England”

“The capital might still hold its title as the most expensive rental region across England and Wales—prices average £1,271 (US$1,652) per month—but price growth went negative in the year to June, as values dipped 0.5%.

The South West of England was home to the fastest rising rents in the same time frame, the report said. Prices in this region—which includes rural areas of Cornwall and Devon, along with cities like Bristol, Plymouth and Exeter—rose by 3.4%, bringing the average rental price to £686 (US$891).

“Plymouth is a particular hotspot,” said Martyn Alderton, national lettings director at Your Move, in the report. “As well as stunning countryside and lower cost of living, current multi-million pound developments are creating employment opportunities. …”

https://www.mansionglobal.com/articles/rental-values-sink-in-london-rise-in-the-south-west-of-england-104900

Another (Tory) council bites the dust …

“Fresh evidence of the funding crisis facing local government has emerged after a second Tory-run council said it was preparing to cut back services to the bare legal minimum to cope with a cash shortfall that could leave it bankrupt within three years.

East Sussex county council said growing financial pressures and rising demand for social care were forcing it to restrict services to the most vulnerable residents only. Under this “core offer”, many of its services will be severely cut or shut down completely.

It said families and neighbourhood voluntary groups would have to take increasing responsibility for supporting those older people who would no longer qualify for social care support from the council under the new arrangements.

Northamptonshire council plans cuts to all services and workforce
East Sussex’s outline of its strategic approach, revealed in a council paper last month, appears to have been adopted wholesale by Tory-run Northamptonshire county council, which this week adopted an emergency cuts plan to reduce services to skeleton levels as it attempts to close a £70m black hole in its budget during the next few months.

Northamptonshire’s financial collapse has been portrayed by ministers as being down to chronic mismanagement rather than lack of government funding. However, East Sussex is regarded as a stable and well-run council, giving authority and credibility to its shock warnings of the consequences of underfunding.

East Sussex said that without more government funding, stripping services back to a core offer would be the best it could afford to deliver, although it added that without a sea change in local authority finances even this most basic model of municipal service might be unaffordable by 2021. …”

https://www.theguardian.com/society/2018/aug/03/local-council-funding-crisis-east-sussex-cuts-services

Property tycoon who refuses to house single mothers raises rents by up to 10% immediately after bank rate rise

Landlord Fergus Wilson hikes rent within minutes of interest rate rise

The 69-year-old, one of the UK’s biggest buy-to-let landlords, said in a statement: “Following the interest rate rise I have increased rents in all our properties by £50 per month.

“It is merely passing onto the tenant the additional mortgage charge.

“This increase starts immediately.”

When asked how many homes would be affected he said: “About 400.”

The Bank of England revealed at midday it had voted to boost interest rates to their highest level for more than nine years, from 0.5% to 0.75%.

Within an hour – at 12.50pm – Mr Wilson released a statement to media organisations detailing plans for his rent hike. …

… It comes after Mr Wilson, who runs a portfolio of Kent homes with wife Judith, came under scrutiny for declaring he was evicting mothers last month.”

http://www.kentonline.co.uk/ashford/news/property-tycoon-hikes-rent-within-hour-of-interest-rate-rise-187330/

“Soaring rents rose 60% faster than pay since 2011 – Shelter”

“Rents have risen 60% faster than wages across England since 2011, according to analysis from housing charity Shelter, which claims the crisis is spilling out of cities into “Middle England” towns such as Tunbridge Wells.

The figures show that private rents have risen by 16% since 2011, outpacing average wages which have only risen by 10% over that period. Shelter analysed official data from the Annual Survey of Hours and Earnings and the Index of Private Housing Rental Prices.

The charity said the rental crisis was spreading out from London to cities like Cambridge, Bristol and Birmingham, and to “middle England” towns such as Tunbridge Wells and Milton Keynes, where people are increasingly unable to afford soaring rents while their wages lag behind. …”

https://www.theguardian.com/society/2018/aug/03/soaring-rents-rose-60-faster-than-pay-since-2011-shelter

The Times: “The ruinous planning policy MPs don’t want you to know about”

If The Times is worried, everyone should be worried!

“To save you the eye strain, or possibly to sublimate some Freudian desire for self-flagellation, I have waded through all 73 pages of the government’s National Planning Policy Framework (NPPF). Slipped out last week under cover of Brexit, the document that will shape the look of England for years to come was duly awarded minimal coverage by the press.

I partly blame its clunky title. If the NPPF were called “Why a ghastly housing estate will soon be built just outside your favourite village” it would get a lot more attention. Still, at least the name of the minister responsible for it — the housing and communities secretary, James Brokenshire — has an ominous ring.

The trouble with having a “national plan” for anything, as Russia found in the 1930s, is that what seem like good ideas to centralised bureaucrats tend to collide with overlooked local realities to produce unforeseen catastrophes. I fear that’s the case with the NPPF, particularly since it covers everything from new housing and the future of town centres to protecting the environment, dealing with floods, promoting sustainable transport, rolling out broadband and preserving historic buildings.

Take its emphasis on “good design”. On paper, that’s admirable. Theoretically it gives local councils the power to reject those soulless estates of identical, boxy homes beloved of the big developers. The aim is to ensure that all new developments excite the eye, please their residents and enhance their environments as much as, say, Ralph Erskine’s celebrated Byker Wall in Newcastle. That would be a fine aspiration if local councils had the experts, time, resources and money to match what any big housing developer can deploy in a planning battle.

Unfortunately, thanks to central government’s ruinous cuts to their budgets, they don’t. Some, such as almost bankrupt Northamptonshire, can hardly run their bin collections let alone turn themselves into architectural watchdogs. For every Byker Wall built in the future, there are still likely to be a hundred soulless “off-the-peg” estates nodded through by councillors too helpless to resist.

And there’s a new threat. From November local authorities will have to comply with a “housing delivery test”. It will penalise those that fail to conjure up an agreed number of new homes in their area. Again the intentions are good: to bridge the enormous gap between the number of new homes given planning permission by councils and the number actually built by the developers. Councils will have to police much more thoroughly the progress of approved building applications — another strain on their scant resources.

The real worry, though, is that councils will panic because they aren’t meeting the set targets and will nod through schemes of scant architectural and social merit, repeating the appalling mistakes made in the 1950s and 1960s. No wonder that the Campaign to Protect Rural England has called the combined effect of the new planning rulebook and the housing delivery test “a speculative developers’ charter” that will result in councils and communities having “little control over the location and type of developments that take place”.

On town centres too, the NPPF seems to be living in a bygone age. The big problem in the next ten years won’t be banning ugly shopfronts or propping up small independent butchers and bookshops, or even halting the march of out-of-town shopping malls. It will be ensuring that there are any shops left, as the relentless shift to online retail gathers pace. As town centres fast become boarded-up wastelands, local authorities need the power (and the money) to make much more imaginative interventions. Yet the NPPF has nothing to say about this.

I find its paragraphs about protecting England’s green belts a bit weaselly too. These sacrosanct meadows are apparently safe from development except where local authorities have “exhausted all other reasonable options”. OK, but who decides what “exhausted” and “reasonable” mean? And there’s another glaring loophole. When it comes to brownfield sites inside green belt areas, it’s apparently a free-for-all.

There’s much that is sensible in the NPPF, of course. If I were an ancient woodland, for instance, I would feel better protected from rape by chainsaw. Nevertheless, my overall impression is that the bureaucrats who penned this well-meaning document imagine that England is still a country of communities safeguarded by strong, efficient local authorities. The sad truth is that government ministers have spent the past eight years paying lip service to “localism” while running down the democratic institutions that preserve it. Brokenshire’s legacy could well be broken shires.”

Source: Times (pay wall)

“Buried UK government report finds fracking increases air pollution”

“A UK government report concluding that shale gas extraction increases air pollution was left unpublished for three years and only released four days after ministers approved fracking in Lancashire, it has emerged.

The report, written by the government’s Air Quality Expert Group (AQEG), was given to ministers in 2015, but was published quietly on 27 July. Fracking firm Cuadrilla was given the first permit under a new regulatory regime on 24 July, the final day of the parliamentary year.

The Labour shadow environment secretary, Sue Hayman, said: “The decision to grant a licence to Cuadrilla must urgently be reconsidered.” An earlier government report concluding that fracking could cause nearby house prices to fall by up to 7% was also delayed until after an important planning decision.

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“There’s a pattern emerging, with environmentally unfriendly government announcements being scheduled to pre-empt worrying reports by experts,” Hayman said. “The decision on Heathrow’s third runway was also taken days before the Committee on Climate Change reported on the danger of CO2 emissions.” A Labour government would ban fracking.

The report estimated that a fracking industry of 400 wells would increase national emissions of pollution, with nitrogen dioxides rising 1-4% and volatile organic compounds 1-3%. But it warned: “Impacts on local and regional air quality have the potential to be substantially higher than the national level impacts, as extraction activities are likely to be highly clustered.”

“The thing that surprised me was you think the main sources of air pollution are going to be coming from the actual process of fracking, but it is as much all the industry – diesel generators, lorries running up and down roads, and all the stuff used to support it,” said Prof Paul Monks, at the University of Leicester and chair of the AQEG.

The report’s conclusion remains valid three years on, he said: “That hasn’t changed. If you have any industrial process at a local level you are going to get an impact on air quality.” Some estimates of the size of the UK’s future fracking industry in the report reach 12,500 wells. “If you increase the amount of wells you are bound to broadly increase [pollution],” Monks said.

Sitting on a report until after giving fracking the go-ahead hardly inspires trust in the government,” said Connor Schwartz, at Friends of the Earth. “If research is carried out, it should be promptly released.” The most recent government polling shows just 18% of the public support fracking.

“Air pollution is already a public health crisis that cuts 40,000 lives short every year and this report is yet more evidence of why we shouldn’t start fracking,” said Schwartz.

“This Tory government has been dragged through the courts three times because of their failure to tackle illegal air pollution, but they’re still taking a cavalier approach to this public health emergency,” said Hayman.

The earlier government report that found fracking could cause house prices to fall was heavily redacted when a Freedom of Information request forced its release in 2014. The full report was only published a year later after a ruling by the Information Commissioner.

It emerged in 2016 that ministers had deliberately delayed the release of the full report until after the crucial decisions had been made by Lancashire county council (LCC) on planning applications to frack, representing “dirty tricks of the highest order”, according to an LCC councillor.”

https://www.theguardian.com/environment/2018/aug/02/buried-uk-government-report-finds-fracking-increases-air-pollution

“Northamptonshire’s financial woes are just the tip of the iceberg”

“… All councils in Britain are required to match annual day-to-day spending with income: unlike the Treasury, local authorities cannot fund current spending from borrowing. They can, of course, borrow to spend on capital items such as land and buildings. Northamptonshire’s difficulties derive largely from a failure by councillors to address the need to match spending to income. But the wider context of relentless reductions to council spending cannot be ignored.

The Treasury has been attempting to reduce the UK government’s deficit since the coalition took office in 2010. But populist pressure to protect state pensions and the NHS, along with decisions to increase international development spending, have meant that the burden of lowering the deficit has fallen on unloved sectors and services, notably provision within the oversight of the Home Office and the Ministry of Housing, Communities and Local Government. Grants to councils in England fell by almost 50% between 2010-11 and 2017-18, and spending in real terms has tumbled by almost 30% on average.

Councils themselves, within falling budgets, have chosen to protect social care for children and adults. No chief executive or leader wants to face the dire consequences of even a single childcare failure, so money has (just about) continued to reach children’s social services. For older people’s care, the picture has been grim. Entitlements have been reduced and services cut back. Fast-rising numbers of over-75s mean that demand is growing while resources shrink.

Even the government came to realise that with rising demand and falling real resources, adult social care was unsustainable. It is a measure of overall government priorities that between 2010-11 and 2017-18 the amount spent on state pensions in the UK rose by £26bn, while spending on adult social care in England was virtually unchanged in cash terms. Only after it became clear that care homes were closing and that services were likely to fail did ministers allow councils to put up council tax and provide new grant funding via the Better Care Fund.

Other local services such as libraries, planning, highways, housing and waste management have been cut by far more than adult care. Almost by default, the way deficit reduction has been delivered has led to a retreat in the very public services that were the origins of the modern developed British state. While Victorians saw the need for clean streets, lighting, police, parks, libraries, rubbish collection and transport, the impact of post-2010 deficit reduction has been to cut such services hardest.

The abolition of the audit commission has ensured that there has been no official agency to publish embarrassing reports about the impact of cuts on councils’ financial health or, even more awkwardly for Whitehall, on the asymmetric nature of the government’s approach to achieving a zero deficit. The National Audit Office, which, crucially, reports to parliament, has undertaken noble work on the broader systemic challenge to local authorities’ financial sustainability. In a report published in March, the NAO noted that “10.6% of single-tier and county authorities would have the equivalent of less than three years’ reserves … left if they continued to use their reserves at the rate they did in 2016-17”.

In short, many of the larger councils that deliver social care are running short of resources. There have been recent press reports that in the coming spending review, covering the period 2020-21 to 2023-24, local government will again be expected to bear the brunt of deficit reduction. It is worth remembering that a zero deficit was originally planned to be achieved by 2015-16. Northamptonshire may have reached the precipice first, but if reductions in local authority budgets continue, they are unlikely to be the last. The county’s plight is evidence of a wider challenge facing the country: are we willing to put up taxes to protect provision or do we want the state to stop delivering services? A crunch point is approaching.”

https://www.theguardian.com/commentisfree/2018/aug/02/northamptonshire-finances-services-tax-rises

Top lawyers argue tax avoidance laws cause privacy problem for their rich client!

“The law firm Mishcon de Reya has filed a legal complaint against new anti-tax evasion measures, arguing that they infringe privacy and data protection rights.

The Information Commissioner’s Office confirmed it had received a complaint against HMRC and the Common Reporting Standard, a system whereby different countries’ tax authorities automatically exchange information.

The complaint was filed on behalf of an unnamed EU citizen who did not wish to be identified, according to the Financial Times. The woman is domiciled in Italy, meaning she argues it is her home for tax purposes.

It is not known where she is currently resident, though she was reported to have been previously resident in the UK and to have had a UK bank account containing £4,000.

The complaint claims that sharing her information with overseas tax authorities would subject her to a risk of her data being hacked, and would infringe European data protection and human rights laws. …”

https://www.theguardian.com/money/2018/aug/02/mishcon-de-reya-complains-about-anti-tax-evasion-measures

“Public Works Loan Board loans rise as councils try to shore up financial futures”

This is how EDDC is financing the shortfall of the build of its new HQ – you know, the one that was supposed to be “cost neutral” and was costing around £10 million at the last evaluation.

“Local authority borrowing from the Public Works Loan Board has reached a seven-year high as cash-strapped councils increasingly invest in capital projects.

In the last financial year the PWLB increased the value of loans to local authorities by 42%. It advanced 780 loans with a value of £5.2bn to local authorities, compared to 622 loans with a total value of £3.6bn in 2016-17, the board’s annual accounts, released yesterday showed.

The value of loans has been going up in recent years after dropping to £3.2bn in 2012-13 following a high of £16bn in 2011-12.

Paul Dossett, head of local government at Grant Thornton, said the rise was part of a growing trend of councils borrowing more – and not just from the PWLB.

As a recent analysis by PF showed, local authorities are increasingly looking at methods such as bonds and forward-starting loans for capital projects.

“It reflects the growing increase we have seen in capital investment in local authority infrastructure as a whole,” he said.

“While different councils have different options and approaches to generating income, a small amount of this increase is likely to relate to investment in assets for income generation.”

Although, he believed the rate of councils investing in assets for commercial gain might have slowed since the government responded to its consultation on the prudential code earlier this year.

The Ministry of Housing, Communities and Local Government announced in Feburary it will now require local authorities to produce an annual investment strategy to ensure greater transparency. …”

https://www.publicfinance.co.uk/news/2018/08/pwlb-loans-rise-councils-try-shore-financial-futures

Our LEP asked businesses about Brexit – probably not happy with answers

From the blog of East Devon Alliance DCC Councillor Martin Shaw (Seaton and Colyton):

“The Heart of the South West Local Economic Partnership (LEP) has belatedly published a report (dated May 2018) on local businesses’ views of Brexit.
This table shows answers to the question, ‘What is your overall assessment at this stage of the likely impact of Brexit on your business?’

POSITIVE (1)
NEGATIVE (9)
Neutral (7)
Mixed (6)
Don’t know (6)

The LEP summarises this table as ‘Businesses’ assessment of the overall impact of Brexit at this stage is quite varied.‘

VARIED? ONE BUSINESS OUT OF 29 THINKS ITS IMPACT WILL BE POSITIVE, COMPARED TO 9 WHO THINK NEGATIVE, AND THAT IS VARIED?

Other findings:

two-thirds of businesses have done no formal planning for Brexit

uncertainty is a big concern

the biggest specific concerns are about are changes to regulatory alignment [i.e. departure from the Single Market] and the speed of customs arrangements [i.e. departure from the Customs Union]

only 1 out of 29 expects it to be positive for their sector; 9 out of 29 expect it to be negative (the rest expect it to be ‘neutral’ or ‘mixed’, or don’t know)

This report (How firms across HotSW are preparing for Brexit, Report to HotSW LEP, Devon County Council and Partners) was prepared in March and April 2018, drawing on interviews conducted in February and March 2018, so it is already seriously out of date.

In the spring, businesses could reasonably have hoped for a deal:

What do businesses think now that May’s government has caved in to Rees-Mogg and ditched plans for a customs union with the EU?

What do they think of the ‘no deal’ scenario?

How are they going to cope if they still haven’t done the formal planning?
It isn’t difficult to guess. And why has this report been so delayed? Why wasn’t it reported earlier to DCC?”

Local Economic Partnership massages local businesses’ anxieties about Brexit: just 1 business out of 29 surveyed thought it would have a ‘positive’ impact, 9 said negative, many were worried – but that is just a ‘quite varied’ assessment according to the LEP!

[Tory] “Northamptonshire forced to pay the price of a reckless half-decade”

Northamptonshire county council’s catastrophic financial collapse, and the desperate measures it now proposes to balance the books, reflect management incompetence on a grand scale as well as the punishing effects of eight years of austerity cuts.

Less than six months after it was declared technically insolvent, the Tory-run council now faces a sobering reckoning for a reckless half-decade in which it refused to raise council tax to pay for the soaring costs of social care, preferring to patch up budget holes with accounting ruses and inappropriate use of financial reserves.

Over the next few weeks the council will map out where previously unheard-of levels of cuts will fall. There are no concrete details yet, other than a promise that its future “core offer” to residents will be a bare legal minimum of service, focused only on the most vulnerable residents.

No services will go unscathed, even in priority areas like child protection that have up to now been relatively insulated. There are no easy cuts left to make: the council says hard savings must be dug out of the most essential services. What will remain is what one observer wryly called “a people-not-dying level of service”. …

… Once a low-tax Tory flagship council, touting itself as the future of local government, Northamptonshire is now bust. Its core offer warns residents, with unwitting pathos, that the most they can expect in future is “a reasonable level of customer service, within our means.”

http://flip.it/wGO8K0

“Local council [and LEPs?] plans for Brexit disruption and unrest revealed”

Owl says Wonder what EDDC, DCC, Greater Exeter and our Local Enterprise Partnership have up their sleeves? Or do they have sleeves at all! Will they enlighten us?

Councils around the UK have begun preparing for possible repercussions of various forms of Brexit, ranging from potential difficulties with farming and delivering services to concerns about civil unrest.

Planning documents gathered by Sky News via freedom of information requests show a number of councils are finding it difficult to plan because they are not clear about the path the government in pursuing.

The responses, from 30 councils around the UK, follow the publication of details of Kent council’s no-deal planning, which suggests thatparts of the M20 might have to be used as a lorry park to deal with port queues until at least 2023.

Bristol council’s documents flag up a potential “top-line threat” from “social unrest or disillusionment during/after negotiations as neither leave nor remain voters feel their concerns are being met”.

One of the fullest responses came from Pembrokeshire council, which released a Brexit risk register detailing 19 ways it believes leaving the EU could affect the area.

Eighteen are seen as negative, of which seven are deemed potentially high impact, including the “ready availability of vital supplies” such as food and medicines.

The one positive impact was that Brexit may drive people to move away from the UK, which could reduce demand on council services.

A number of councils, including East Sussex, are worried about the provision of social care after Brexit because of the potential fall in the number of EU nationals working in the sector.

According to Sky, East Sussex’s report says: “There has already been a fall in the number of EU nationals taking jobs in the care sector and the county council has great concerns that the end of freedom of movement will put further pressure on the sector that is already stretched and struggling to deliver the level of care required for our ageing elderly population.”

A number of councils have expressed concern about the disappearance of various EU funding streams and whether thethe Treasury would step in to replace them.

The local authority in the Shetlands released a document saying that tariffs on lamb exports under a no-deal Brexit would mean 86% of sheep farms could expect to make losses. The current figure is about 50%.

One common complaint, according to Sky, was frustration at the lack of central government information about which plan might be pursued. Wirral council said: “Given the lack of detail from government about any proposed deal or arrangements, it is difficult to carry out an assessment that is not purely speculative at this time.”

https://www.theguardian.com/politics/2018/aug/01/local-council-plans-for-brexit-disruption-and-unrest-revealed

The (late) East Devon HQ flower meadow that was …

Ed Dolphin (Sidmouth Arboretum) is being interviewed by ITV in the ex-flower meadow tonight – for ITV SW.

“Philip Hammond orders Whitehall to plan for more [local government] cuts”

Owl says: This way council tax go up to cover the shortfall and government can avoid the responsibility of raising general taxes even more than the are about to be raised. The end result is that we all pay more for less – unless you are super-rich, of course.

“Philip Hammond has told Whitehall to plan for another round of cuts before next year’s spending review, putting him on a collision course with some cabinet colleagues who want tax rises instead of austerity.

The chancellor wants ministries without protected budgets, including public health, further education, local government and transport, to work with the Treasury in the summer to identify potential areas for savings.

Some departments believe that these budgets could be cut by as much as 5 per cent. The letter calling for work to start on the savings, sent by Liz Truss, the chief secretary to the Treasury, last week, does not contain a specific target.

Spending totals have been set until the spring of 2020. Mr Hammond will allocate individual budgets, traditionally for the following four years, in a comprehensive review after next spring.

He must first fight a battle with colleagues over whether to raise taxes to cushion some or all of the cuts. Some senior cabinet ministers are understood to be squaring up for a fight. Last week’s public sector pay rises must be paid out of existing budgets.

One minister said: “Philip Hammond has got Theresa May to agree to no more borrowing [above the fiscal rules] so that means it looks like cuts to pay for the extra money for the NHS. But the answer is to raise taxes to protect spending.”

The chancellor has already made it plain that extra tax rises are likely to be necessary to pay for the £83 billion extra in coming years that was announced for the NHS in June.

The overall mix of spending cuts and tax rises could be announced in the autumn budget, inconveniently coinciding with the middle of the Brexit negotiations, or delayed until the comprehensive spending review itself. Mr Hammond has secured a commitment from Mrs May that she will keep to fiscal rules, which force the government to reduce the cyclically adjusted deficit to below 2 per cent of GDP by 2020-21 and having debt as a share of GDP falling in the same period. The chancellor has headroom of £15 billion against the 2021 deficit target, meaning that his scope for borrowing is minimal.

Michael Gove, the environment secretary, has suggested to cabinet ministers that more needs to be done to improve growth. Gavin Williamson, the defence secretary, has proposed boosting it with a tax giveaway such as that brought in by President Trump. The debate about spending and taxation has already begun on the Tory back benches. Bim Afolami, MP for Hitchin & Harpenden, said he understood that the Treasury had a hard job but added: “We urgently need to shift the debate away from management of tough budgetary rules towards growth, moving from austerity to prosperity for a majority of people in this country.

“We need to move away from a necessary but ultimately negative message of managing tough budgetary moves, towards a forward-thinking vision for post-Brexit prosperity sooner rather than later. In general terms every single department should be looking for savings, just like every business does.”

“Death knell sounds for High St bank: Britons left in lurch as bank closures hit 80 a month”

Meanwhile, word reaches Owl of a near-riot in Sidmouth, where recently the beleaguered Post Office had a queue outside into the street and only two counters open while one customers wanted foreign currency and the other counter had a business customer with several items to deal with.

“Nearly 3,000 branches have shut their doors since 2015, or will do so by the end of this year, depriving communities of essential services.

Added to that is the steep decline in ATMs, which has a devastating impact on the 2.7 million adults who rely almost entirely on cash for their day-to-day lives.

The closures come as the Big Four – Barclays, HSBC, Lloyds and Royal Bank of Scotland – are expected to unveil a combined £13.6billion profit for the first half of 2018.

A study by consumer campaign group Which? showed 2,868 high street branches have closed in the past three years at a rate of almost 80 a month.”

https://www.express.co.uk/news/uk/997113/bank-closures-atm-customers-misery-barclays-hsbc-lloyds-rbs

“Speeding in Cranbrook compounded by town’s unadopted roads”

Owl says: a headache for Sidmouth’s DCC Councillor Stuart Hughes – the transport supremo.

“Town councillors in Cranbrook have voiced their concerns over motorists travelling at speed on the town’s roads.

At a meeting last week, Councillor Matt Osborn said he saw vehicles using Court Royal – which runs from Cranberry Farm pub to Tillhouse Road – as a ‘drag strip’.

The problem of high speeds in Cranbrook has been further compounded by the fact police can only legally enforce a speed limit on an ‘adopted’ road.

No roads in Cranbrook have been adopted yet, meaning any police prosecutions for speeding offences would fail.

At a town council meeting last week, Cllr Ray Bloxham said: “The Road Traffic Act covers un-adopted roads, but the police do not see it that way.

“We have a dilemma and it has cropped up many times.

“Devon County Council (DCC) has set up a forum to tackle issues with speed because we are unhappy with the way speed is monitored.”

But chief inspector Adrian Leisk, head of roads policing, told the Herald that it was untrue that police were not enforcing the law in relation to the speed limit in Cranbrook – although it was a question of whether the law permitted them to do so.

He added: “To legally enforce a speed limit on a road, a valid and legal Traffic Regulation Order (TRO) needs to be produced and published.

“This will be done by the highway authority, which in this case will be Devon County Council, after the roads are formally handed over, or adopted.

“Any prosecutions for speeding offences will fail if the TRO is not valid or present. This will obviously be applicable after the road is adopted by the highway authority.”

Mr Leisk said the process of adoption ensured that the road was compliant with regulations, and all of the necessary design and technical specifications are met.

He added: “Prior to formal adoption, the responsibility for site safety rests with the developer, who still own the roads and are responsible for their upkeep.

“This should be risk assessed and addressed as all other safety considerations on a building site.

“This can include temporary measures to reduce residual speed on the site.

“Essentially, this road is not currently ‘in the hands of the police.’”

http://www.midweekherald.co.uk/news/speeding-in-cranbrook-compounded-by-town-s-unadopted-roads-1-5631114