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Spending to be cut by up to a fifth by 2015 in Tower Hamlets

PUBLISHED: 15:00 02 March 2010 | UPDATED: 15:39 05 October 2010

TOWER Hamlets council has admitted it will have to cut its spending by up to a fifth over the next three to five years. A survey by the BBC shows that, although the council predicts its revenue budget will increase by more than three per cent in the 2010-

TOWER Hamlets council has admitted it will have to cut its spending by up to a fifth over the next three to five years.

A survey by the BBC shows that, although the council predicts its revenue budget will increase by more than three per cent in the 2010-11 financial year, it will have to cut spending by between 15 and 20 per cent by 2015.

The figures are based on Tower Hamlets council's response to the BBC's questionnaire which surveyed local authorities across England.

The Corporation received answers from 49 councils, including Tower Hamlets, and more than 70 per cent of respondents said they predicted spending cuts of between five and 20 per cent.

In response to the survey the council admitted that, excluding schools, it expected an overall reduction in spending by 15-20 per cent but said it was unable to say which departments would be vulnerable to spending cuts or squeezes and that it was a matter to be decided by elected members.

The council was also unable to say whether it would make savings by cutting some of its 4,800 staff but said it was considering sharing services with other public sector bodies although it did not believe it would make any significant saving.

The council's response said it was exploring different options including making services more efficient, increasing staff productivity, externalising services, sharing costs with other public bodies, making better use of assets or even charging people who can afford to pay for certain services.


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