Ernie Clark. Hilperton Division, Wiltshire Council.

As previously asked 'Will the promised savings be delivered?'
"I continue to be very concerned about the lack of progress and any substantial detail being released with regards to budgets for the new one council", said Cllr Payne. "Consequently, I have written to Jane Scott voicing my concerns and raising some specific questions."

This is what Cllr Payne wrote:

'Dear Mrs. Scott,

I am writing to express my growing concern in relation to the preparation of the budget for the new one council for Wiltshire.

We are of course all aware that much of the support for the new council was based on the promised savings of £18 million over the first three years. I have concerns as to whether this will realistically be achieved to the benefit of local residents. To date, I have seen no substantive details or indication of how any of the promised £18 million will be saved in the first year of the new council without detrimental impact on service delivery.

I understand from the budgets in preparation that £6 million has been allocated to One Council For Wiltshire savings and a further £2 million allocated to savings emerging from the BMP project. As this stage these are of course, as far as I am aware, only lines on a budget sheet. I would be grateful if you would provide me with some detail as to how these savings will be generated during 2009/10.

I have also noted with interest in a number of places including an article in the Western Daily Press on 1 October this year where the County is quoted as already having made £6 million worth of savings. I would, again, be grateful if you could provide me with a breakdown of these savings.

In relation to the preparation of the 2009/10 budget for the new one council, I am slightly concerned that I have yet to see a published detailed timetable for the setting of the budget which would allow for robust public debate, scrutiny by members and discussion with the local business community in order that all can be certain that the right decisions and budgetary choices are being made. I would be very concerned if a budget did not appear until late in the day removing the opportunity for wide debate. On this point I would be grateful if you could provide me with some of the key dates within the budgetary process.

In relation to some of the key issues surrounding the setting of a budget for the new one council I would wish to question strongly whether, within the current economic climate, now is the right time for any council to be considering a council tax increase of 3.5%, which I understand is your stated position, this of course will further impact on already hard pressed families. Such an increase would be the equivalent to an average increase across the county of £40.66 for a council tax band D property (an increase from £1,154.02 to £1,194.68).

I believe that it is imperative in preparing the budget that the new council does not seek to resolve its budgetary pressures by looking to the local tax payer. Now is the time that it needs to hold true to its promises of a more efficient council as strongly stated in its bid for unitary status.

Indeed, this concern also applies to any potential increases in fees and charges. I would strongly recommend that this should be avoided. I understand that the Implementation Executive are due to consider this issue at their meeting at the end of January. I would be grateful if, at this stage, you could provide me with an indication of the likely proposals or even the general policy approach that will be applied for example to the issue of harmonisation.

I would also be particularly grateful if you could outline to me the impact on the new council's budget of the potential reduction in investment income as a result of both County Council and, as I understand it North Wiltshire District Council funds, being frozen within an Icelandic bank and what plans have been put in place to protect the council from downward movements in interest rates. Whilst I understand this position still remains unresolved I would be grateful if you could let me know what contingency plans are in place.

I would also wish to understand the position with regards to the capital programme. As I understand the current position, the capital programme is some two times over subscribed (a three year budget of £240 million with finance for £120 million). This of course is not an unusual challenge for any council to be faced with but I would wish to be reassured as to the basis that the council will use to determine its capital programme.

Without an established Corporate Plan and robust service and resource planning processes, I believe there is a risk that the capital programme will not be effectively allocated to meet priorities for the new council. There is of course a clear link here between the available revenue funds and the size and scope of any capital programme.

I would urge the council to focus its capital programme on supporting local economic regeneration and delivering major projects in our towns, injecting money into the local economy and building confidence with our local communities and also within the business community.

I look forward to receiving your early reply.

Yours sincerely,

Cllr Graham Payne

Leader, West Wiltshire District Council.'