COUNCIL chiefs today warned further big cuts in their budgets could have ‘devastating’ consequences as Chancellor George Osborne prepared to announce the result of his Whitehall spending round.
As they braced themselves for a further eight to ten per cent reduction in cash grant for 2015/2016, Labour bosses at Burnley and Blackburn with Darwen highlighted new research showing they were at highest risk from his knife.
Pendle borough Tory leader Joe Cooney told them to stop complaining about grant cuts and find new and better ways of delivering services within tighter budgets.
As Mr Osborne prepared for this afternoon’s statement to MPs on his cuts negotiations with cabinet colleagues, research by the Centre for Cities showed Northern councils were more vulnerable to government cash cuts than their Southern counterparts.
It looked at 147 principal urban areas and their dependence on Whitehall grants for spending.
Burnley, with a 46 per cent reliance on direct government cash, came fifth in the list of vulnerable authorities; Pendle at 42 per cent 14th, and Blackburn with Darwen at 37 per cent 49th.
By contrast, Southern boroughs such as the City of London, Surrey Heath, Cambridge, Woking and Wokingham would escape more lightly as they rely on Whitehall grants for just a fifth of their income.
Burnley council’s resources chief Mark Townsend said: “If the Chancellor goes ahead with eight to ten per cent cuts, it will be terrible.”
Blackburn with Darwen council leader Kate Hollern said: “There is nothing left to cut.”
Coun Cooney said: “Some of my fellow council leaders should stop complaining about the situation and get on with it. “ Chorley at 31 per cent grant dependence comes 101st in the table. Hyndburn, Ribble Valley and Rossendale boroughs were not included in the analysis.
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