A RECRUITMENT freeze has been put in place at Cheshire East Council as the authority bids to make even more savings after revealing that its half-year accounts could hit an overspend of £16.2 million.

Clr Wesley Fitzgerald, leader of Cheshire East Council, said this week that the authority faced ‘difficult times ahead with some hard decisions to be made’.

He said the council had already made savings of £17.8 million, but stressed that it needed to make even more, adding that the ageing population living in the borough brought its own challenges in terms of looking after them.

Clr Fitzgerald said: “The severity of the economic problems at an international and national level is now beginning to manifest itself in Cheshire East.

“This week the cabinet reviewed the half-year situation, which shows a worse case overspend of £16.2 million.

“We have already made £17.8 million savings, but we need to make even more.

“Our Government formula funding grant meant that we started the financial year with £11.8 million less than the year before.

“We received £70 million while Cheshire West received £96.6 million.”

He said that Cheshire East receives only 44 per cent of the business rates its collects and that he was lobbying the Government on the issue.

“The wealth we generate is in fact being used to bolster other areas which are not as robust as ours,” he added “A recruitment freeze has been implemented and we have reviewed the terms and conditions of all of our employees.

“Mileage rates have been reduced for both officers and elected members. In addition, we are reviewing all grants and commissioning activities.

“We will need to reduce the subsidy on all our fees and charges, and this will not be received well.

“We know this and regret it, but we have no choice.

“The soaring increases in energy costs that we have all felt in our own homes causes a massive budgetary challenge in our leisure centres and all public buildings.

“We take pride in our education provision and our social care for children.

“However, the number of children in care has continued to rise and the money for their care has to come from somewhere.

“In Cheshire East we have comparatively more older people. They in turn are living longer, and bring financial challenges at a time when we can ill afford it.

“We cannot abrogate our duty to either of these groups of vulnerable people, so we must make savings elsewhere.”

To see the full statement issued by Clr Fitzgerald click below.


Clr Fitzgerald Budget Statement.doc