Northamptonshire County Council replacement 'will save £85m a year'
- Published
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Northamptonshire's existing county and district councils are to be replaced
New unitary authorities set to replace a cash-crisis council could save £85m a year, it has been claimed.
Northamptonshire County Council's money problems in 2018 led to a scheme to scrap it, along with seven other district and borough councils, in 2021.
The savings figure was presented at the joint committee for the West Northamptonshire authority, one of two new unitary councils being formed.
But Labour said the figure was "not credible at all".
A government report in 2018 recommended the scrapping of the Conservative-run county council, which twice banned all but statutory spending.
A draft Structural Change Order confirmed two "shadow authorities" would be set up during a transition period.
Existing councils will be scrapped and replaced by two unitary authorities, West and North Northamptonshire.
Ian McCord, leader of South Northamptonshire Council, said the new authorities would stop confusion about which councils ran which services
The government had already approved the plan, but the election last month meant legislation was delayed.
Ian McCord, Conservative leader at South Northamptonshire Council, said he was "infinitely relaxed the legislation would go through Parliament in the next four to six weeks".
He said residents would not see much difference with the unitary authorities.
"Their bins will continue to be collected, which for many is the calling card of the council," he said.
Labour's Danielle Stone questioned the extent of the claimed savings
The estimated cost of setting up the new authorities is £44m, but papers discussed at Tuesday's meeting said there would be savings of £85m a year.
Jonathan Nunn, Conservative leader of Northampton Borough Council, admitted that the final figure may change.
But he added: "Let's be blunt: if it's a £40m saving a year, it's still a beneficial thing."
Danielle Stone, Labour opposition leader on Northampton Borough Council, said there were "still big holes" in the county council's budget.
She said: "I think that is going undermine the work that's being done on the budget for the two unitary authorities and I can't see that being a cost saving."
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