Shared council plan scrapped

OLDHAM Council has pulled out of controversial plans to share a management team with Rochdale.

The councils spent months preparing for joint working in a bid to save at least £20million through shared services — setting up a joint advisory committee, advertising for external advisers and discussing sharing a chief executive.

But Oldham has performed a dramatic U-turn with council leader Jim McMahon telling Cabinet last night that it was clear the two boroughs had a “different appetite” not only for the scale of the scheme but for its timescale.

The Labour leader said: “Before April we embarked on a challenging programme to integrate management services. There has been a significant amount of work carried out by members and officers from both sides to bring things together. But we will not be progressing with the original agreement.

“We will work together where we have natural synergy and services, but the most important thing for Oldham is to make sure the long-term stability of the council is protected.

“In these challenging economic times we need the right people in post to move this borough forward. We are confident that the team we have in Oldham is the right one to take Oldham forward.”

Oldham’s Lib-Dem opposition leader Howard Sykes, who kick-started the process before losing power in May, said it was a wasted opportunity that would have saved millions of pounds. He added: “I have been told there’s been some reluctance by colleagues in Rochdale to agree with what’s needed to achieve the proposition that makes it unworkable.

“I left all this in order. It was all teed up and ready to go and I don’t understand what’s happened.

“I think it’s a big ball dropped. Partnership working with Rochdale would have delivered a huge saving for both councils over the next few years that won’t happen now and savings will have to be found elsewhere.”

He predicted it spelt the end of joint-working, joint-management and a joint chief executive between the councils.

In an email to staff, Oldham Council chief executive Charlie Parker said: “Regrettably, following discussions between members and officers in both Oldham and Rochdale, both authorities have decided not to move forward with these proposals at this time.

“As part of our ongoing work to identify the budget savings we need over the next three years we will continue to talk to other authorities, including Rochdale, about opportunities to work together.”

Rochdale Council leader Councillor Colin Lambert said: “We have concluded that we will not be pursuing full integration, the constitutional issue of a shared Chief Executive or a joint and integrated management team.

“We have concluded that this would jeopardise Rochdale being able to retain its sovereignty and maintain strong, democratic accountability. In addition, this could have increased rather than reduced senior management costs at a time when we are being forced to cut services. This is not acceptable.

“However, we will continue to look at joint working opportunities with Oldham, as well as other authorities. We have an excellent track record of working with Oldham, most recently our joint street lighting contract, and we will build on that work wherever possible.”