Member Article

Teesside council to axe 600 jobs

Middlesbrough Council has announced it must axe another 600 jobs as part of yet more sweeping cost-cutting measures.

Elected Mayor Ray Mallon has outlined cuts of nearly £15m to the authority’s 2014-15 budget.

The latest cuts – on top of more than £40m removed from the council’s budget over the last three years – will result in significant changes to local services, as well asthe loss of up to 600 jobs.

The stark choices facing the council were outlined by Mayor Mallon as he delivered his latest budget proposals at an extraordinary meeting of full council in the Town Hall on Wednesday night.

They are a consequence of the Coalition Government’s drive to reduce public sector spending, with Middlesbrough required to achieve total budget cuts of more than £67m over the next three years and more than £105m over six years.

A period of public consultation is now under way before recommendations are put forward in the next stage of budget setting process.

At the meeting, Mr Mallon outlined a total of 41 cuts, including the closure of council-run facilities and significant reductions and changes to a number of services.

Key proposals for 2014/15 include:

• Gresham: Proposed demolition of 201 houses in Phase 2b to be abandoned, which would have required borrowing of around £14m. All residential property owners and operating businesses will receive packages of financial assistance to help with energy efficiency improvements and refurbishment.
• The new approach will give the Council greater borrowing flexibility, making funds available to invest in the town’s road infrastructure and possible improvements to Middlesbrough Theatre.
• mima: Under a new partnership, Teesside University will take over the day-to-day running of the town’s flagship modern art gallery. mima will continue to develop its national and international reputation, while the University will look to extend its School of Arts & Media with a major new building on Centre Square.

Other proposals include reductions in grass cutting, grounds maintenance and litter picking, reductions in leisure centre opening hours and staffing levels and the contracting out of a number of services.

Facilities earmarked for closure include Clairville Stadium, the Middlesbrough Teaching and Learning Centre, the TAD Centre and the Register Office.

Mr Mallon said: “I have stated from the outset that the cuts imposed on us are too deep, too quick and too savage, but the simple fact is that we have no choice but to find these savings if we are to balance the books.

“That means this Council must change almost beyond recognition, and people will see a reduction in services and a change in the urban environment.

“There will be less face-to-face contact with the public and a greater emphasis on IT, and more services will be contracted out – we will not be abdicating responsibility but rather delegating it to those better placed to deliver those services.

“These cuts will affect every single area of what the Council does, but we will continue to do the very best we can with the resources available to us.”

The public consultation process will carry on to January 2014, with a draft budget to be agreed in February and finalised in March.

For full details of the budget proposals and how to take part in the consultation process, visit the Middlesbrough Council website at www.middlesbrough.gov.uk/budget

This was posted in Bdaily's Members' News section by Martin Walker .