The financial position of each authority is somewhat different. The County is faced with the grim prospect of unrelieved cost cutting over the foreseeable future. However, at Babergh, the loss of core funding from the Government is being largely compensated for by a payment called the New Homes Bonus. This is basically a bribe from central government to keep building new houses; a piece of blatant interference from the centre which will probably lead to unwanted consequences.
The prospect of spare cash has encouraged those in a position of power at the District to decide that a bit of spending is once again appropriate. Over the next few months there will be a spate of ‘priority budgeting’ to identify ‘projects’that will encourage ‘economic growth’ in the area. When pressed for examples of these projects little of substance has emerged, apart from some generalised muttering about ‘houses’and ‘spending to save’, and I for one feel uneasy. Councils and Governments rarely spend money efficiently when left to their own devices.
The Scrutiny Committee, at the meeting held in advance of the budget discussion, suggested that one way to get a bit of cash into the local economy quickly would be to increase community grants. These have been frozen for several years. To my mind this would be an excellent way rapidly to inject funds into the hands of local groups, helping builders and other businesses, while doing what we ought to be, which is helping communities to help themselves. Since the grants are generally one off payments, no precedent would be set for the future, and, if necessary, the level could be reduced in future years if more promising projects emerge.
Sadly the suggestion largely fell on deaf ears. I wait with interest to see what suggestions come forward. I hope that they will make an equally direct and immediate impact on the local economy and the residents we serve.
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