City of Salford Conservatives

A Conservative statement on this year’s Council Budget, by Leader of the Opposition Cllr Karen Garrido and Conservative Budget Spokesman Cllr Ian MacDonald.

Salford Council has been dealt with most savagely by this Labour Government in two very important ways. Firstly, the Government Grant to our Council has been grotesquely miscalculated. The wrong population figure was used.  Even if correct figures had been used, it is obvious that Salford seems to have been singled out for special treatment.  There is no need for us in Salford to be treated as a low Council Tax charger, when we are quite the reverse.

Secondly, the calculating of Business Rates has changed and the hoped for windfall to offset the Twenty Million Pounds we are spending to help the BBC to come to Salford will not be coming as we were expecting.  Councillor Merry, the Council Leader, has said at that he was not aware of the changes at the time the BBC’s coming was negotiated.  Perhaps he should have known.

The Conservative’s alternative budget, which we presented at the recent Council Meeting, would have reduced Council spending for the 2008/9 by about £2.8 Million.  We believe that it would be perfectly possible to find extra savings if they were looked for hard enough.  Under our proposals, Council Tax would not have risen by the 3.4% that it is going to - and also we would not have taken so much from the Council’s reserves.

For many years the Conservatives have brought attention to the Council’s staffing situation.  We have constantly called for reductions, but always stressing that it would be achieved by the non-replacement of staff leaving. Additionally, we have always advocated the calling in of outside staffing experts, but have never had our idea taken up. 

Last year two crucially important decisions were taken by the Labour administration.  The first was to employ KPMG, a prestigious firm of Accountants, to advise on the staffing numbers on this Council.  The other decision was to introduce a moratorium on replacing staff leaving.  These are the very same two actions that we have been advocating for many years and which have always been treated with horror by the ruling group.  We note that the Liberal Democrats are critical of the employment of KPMG.  We emphatically disagree with them.  

KPMG have identified nearly 300 examples of where staff reductions can be made. How much better if it had been done years ago, when Conservatives first called for it? What huge amounts of Council Tax payers’ money has been wasted in the meantime? We have always said we were several hundred overstaffed. That was comparing Salford with other local authorities, which are, no doubt, also overstaffed.

The Conservative alternative Budget contained additional savings in all Department headings except one. We would spend more on the repair and maintenance of our roads and pavements.  Most are a disgrace and need urgent attention. For reductions in spending, we would target the Marketing Department, which contains many unnecessary expenses.  Probably a Million Pounds could be saved here. 

Finally comes the question of the Council’s reserve funds.  The 4.3 Million Pounds the Labour Councillors are taking from reserves would leave the Council at an extremely hazardous level, and all Council members should have considered very carefully whether they could support such a risk.  The Labour majority chose to ignore common sense. We all face a very uncertain future with the British economy precariously positioned.  The Council faces staff salary demands next year of increases of 6%.  The Government funding for 2009/10 looks even worse than the one we have just been given. Is this a sensible time to reduce our precious reserves by 45% by taking £4.3 Million and leaving just £5.3 Million and a most uncertain future? If the Labour administration can really find no further efficiencies, and we are quite sure that they could, then they should have had the courage to increase the Council Tax to the maximum 5% and not take anything like so much from the reserves.  The Labour majority on the Council have decided to make a grossly irresponsible raid on the precious reserves of this City that cannot prudently be supported. It is a risk that we shall all have to share if their policies do not work out.   The Conservatives believe a major mistake has been made with your money.