Council allowances cut

COUNCILLORS are now receiving reduced allowance payments as part of a drive to save public money.

The cuts to Oldham Council’s special responsibility allowances (SRAs) — payments made to reflect the commitment and workload associated with certain key positions — were approved as part of the emergency budget in July and are now in operation.

It’s estimated £65,000 will be saved in the current financial year (2011-12) and £107,000 in the next (2012-13).

The reductions are a 10 per cent cut in all SRA; and the end of all allowances previously paid for vice-chairman positions on the planning, licensing, performance and value for money committees, the overview and scrutiny management board, select and audit committees.

Council leader Councillor Jim McMahon has also written to all ward councillors urging prudence and asking them for additional support “in seeking to minimise their claims for meals and fuel allowances”.

The council needs to find £24 million in savings for the next financial year and is currently undertaking a budget consultation exercise.

Councillor Abdul Jabbar, Cabinet member for finance and resources, said: “In today’s financial climate no area of Oldham Council’s expenditure can be exempt from our search to find savings.

“It is only right that the work to address this budget gap examines every area of our spending and all tiers of personnel.

“Councillors cannot be exempt from that — we need to show solidarity with residents and staff and share the financial pain as part of this process.”

A detailed breakdown of the budget and income sources is available online at www.oldham.gov.uk/budget .

Residents are invited to submit their ideas using an online form and can also rate suggestions made by others as they are published on the site.

Councillor Jabbar added: “I would urge all residents to take just a few minutes to visit our website and voice your opinion on our future spending decisions.

“The council administers this budget on behalf of the public and we want to make final decisions that are properly informed by what you think our priority spending areas are — and also where you think we can cut unnecessary red tape and bureaucracy.”