Councils back move to share services
Two councils have stepped closer to sharing services to save money after a business case was backed by senior members – but they have insisted the move is not a merger.
The plans for Stafford Borough Council and Cannock Chase District Council to share most services, including a senior management team, are expected to save more than £1.1m across the two authorities – including almost £90,000 in senior management costs.
Both councils are facing funding gaps in their budgets for 2023/24, with Stafford’s being £2m and Cannock forecast to have a £2.8m deficit. And a report to the councils’ cabinets warned that if the shared services plans were not agreed savings would need to be found elsewhere.
Cabinet members at Stafford gave their backing to the shared services proposals on Tuesday and Cannock’s cabinet supported the plans on Thursday. They have recommended that the plans be approved by their full councils.
Stafford Borough Council’s leader Patrick Farrington said: “This will not be a merger of the two councils. Both authorities will continue to be two sovereign bodies and we will each maintain our identities, civic offices, websites and telephone numbers.
“But we will have joint governance arrangements and a shared chief executive and leadership team. There will be sharing of all services except housing and delivery of elections.
“Over the past few years there has been a reduction in funding from Government and this will not change. There is uncertainty in relation to business rates retention and new homes bonus and these things have affected the manner in which local authorities are able to deliver services.”
Cannock Chase Council’s leader Olivia Lyons said both authorities had similarities, as well as being neighbours. “Both councils have a desire to nurture business growth”, she said.
“We want to make sure we are strong and can weather future challenges. This gives us an opportunity to do that.
“We want to ensure we are protecting the services we deliver for the benefit of our residents. This proposal gives us the opportunity to strengthen our services and pool talent and shared experience.”
The two authorities have already shared a number of “back room” services for more than a decade, including IT, legal and human resources. Last year Tim Clegg became joint chief executive of both councils following the departure of Cannock Chase Council’s former managing director.
Housing services funded by the Housing Revenue Account at Cannock Chase Council and the management of housing registers for both authorities will not be shared however. Cannock Chase Council retains responsibility for social housing stock in the district, while Stafford Borough transferred its properties to Stafford and Rural Homes – now part of Homes Plus – more than 15 years ago.
The management and delivery of elections will also remain separate for both councils. Elections currently take place three out of four years, with a third of seats contested each polling year, at Cannock Chase and Stafford Borough Council holds elections once every four years.
