Proposed by Councillor Phil Davies

Seconded by Councillor Ann McLachlan

(1)  Council notes that the Government's efforts to deal with the deficit so far have focussed on cutting public spending. Since 2010, 1,500 fire fighters have lost their jobs; over 300 libraries and 400 Sure Start centres have closed; police numbers have been reduced by over 6,000 and there are 5,000 fewer nurses. The rise in people relying on food banks is a clear sign that many are facing high levels of economic and social distress. 

(2)  There is a strong case that local authorities should be encouraged to invest in growth. Local government is demonstrating its ability to drive growth by providing infrastructure investment and supporting local businesses. Allowing local government to borrow in line with prudential rules will enable us to invest in building houses and create desperately needed jobs.

(3)  Councils have been handed some of the deepest cuts in the public sector. Local authorities have seen their budgets cut by 33% in comparison to 8% across Whitehall departments.

(4)  The additional 10 per cent reduction announced by the Chancellor in the Comprehensive Spending Review on the 27th June confirms local government as the hardest hit part of the public sector and, according to Cllr Sir Merrick Cockell, Chairman of the Local Government Association, will ‘stretch essential services such as culture and leisure facilities, school support, road maintenance and growth to breaking point in many areas’.

(5)  This additional cut will equate to Wirral Council having to make savings of between £13.5m and £24m during the period 2015 to 2018. This is on top of the £109m savings the Council has to make between 2012 and 2015.

(6)  At a time of increased unemployment, Council believes that the nation's safety net has been seriously compromised. The bedroom tax, council tax benefit reductions and other cuts will mean that many people will struggle to keep their heads above water.

(7)  Council believes that the government should be supporting those who are being hit hardest by the economic downturn. Scrapping the bedroom tax and looking again at the costs to families of all the benefit changes should be a priority before giving tax cuts to the richest people in the country.

An amendment which had been circulated in advance of the meeting was submitted in accordance with Standing Order 12(1) and (9), as follows:

Proposed by Councillor Phil Gilchrist

Seconded by Councillor Pat Williams

“Add at end of existing paragraph (1):

It should be noted that, in Wirral, no libraries or Children’s Centres have been closed and that in setting priorities, school budgets and the Health Service have been given a degree of protection.

Add at end of existing paragraph (5):

Council understands that the scale of the deficit, the level of public spending and the limited scope for major changes before 2016 have been accepted by not only the coalition Government but also the Shadow Chancellor. It is now accepted that 'iron discipline' and the scope for keeping current spending within the available funding has become common ground.

The opportunity to secure further investment in infrastructure, as new money is identified, must be taken. Whilst Wirral has secured £5.5 million for the Wirral Waters Enterprise Zone and needs to secure a share of the first £2 billion being made available for the Single Local Growth Fund, the case for investment in capital projects must be pressed to help tackle unemployment.

Given these conditions, any case to provide additional funding for Wirral’s services must be backed with clear evidence. As Wirral is bringing its costs, the way services are organised and commissioned into line with other local councils, we will be better placed to argue for funding to maintain services, but must have a clear case that will stand comparison with other councils tackling deprivation and long standing social problems. The Local Government Association has described, in general terms, the need for an agreement 'across English local Government'; Wirral must commission work that can inform that process.

Add at end of existing paragraph (6):

Given the financial pressures facing families, the Council must ensure that:

(a) the existence of Discretionary Housing Payments is publicised

(b) work to seek changes to the regulations on entitlement is brought together, used to argue for more understanding and flexibility and that this case is put to the DWP.

Work must continue on collecting evidence on the impact of benefit changes. This must include gathering information from the main social landlords in Wirral on the impact that the under occupancy rules are having on their finances. This information should then be used to compile a clear picture of housing need and the impact of the changes. This should create a more detailed understanding of how tenants in both the social and private sectors have been affected since the introduction of changes by the last Labour and current coalition Government, how the availability of property has changed and whether there is sufficient property of the right size available in Wirral.”

The Mayor then requested the movers of the motion and amendments to speak to their proposals followed by the seconders. The Leader of the Council waived his right of reply and the amendment was put to the vote and lost (23:36) (One abstention).

The motion was put to the vote and carried (36:23) (One abstention).

Resolved (36:23) (One abstention) –

(1)  Council notes that the Government's efforts to deal with the deficit so far have focussed on cutting public spending. Since 2010, 1,500 fire fighters have lost their jobs; over 300 libraries and 400 Sure Start centres have closed; police numbers have been reduced by over 6,000 and there are 5,000 fewer nurses. The rise in people relying on food banks is a clear sign that many are facing high levels of economic and social distress. 

(2)  There is a strong case that local authorities should be encouraged to invest in growth. Local government is demonstrating its ability to drive growth by providing infrastructure investment and supporting local businesses. Allowing local government to borrow in line with prudential rules will enable us to invest in building houses and create desperately needed jobs.

(3)  Councils have been handed some of the deepest cuts in the public sector. Local authorities have seen their budgets cut by 33% in comparison to 8% across Whitehall departments.

(4)  The additional 10 per cent reduction announced by the Chancellor in the Comprehensive Spending Review on the 27th June confirms local government as the hardest hit part of the public sector and, according to Cllr Sir Merrick Cockell, Chairman of the Local Government Association, will ‘stretch essential services such as culture and leisure facilities, school support, road maintenance and growth to breaking point in many areas’.

(5)  This additional cut will equate to Wirral Council having to make savings of between £13.5m and £24m during the period 2015 to 2018. This is on top of the £109m savings the Council has to make between 2012 and 2015.

(6)  At a time of increased unemployment, Council believes that the nation's safety net has been seriously compromised. The bedroom tax, council tax benefit reductions and other cuts will mean that many people will struggle to keep their heads above water.

(7)  Council believes that the government should be supporting those who are being hit hardest by the economic downturn. Scrapping the bedroom tax and looking again at the costs to families of all the benefit changes should be a priority before giving tax cuts to the richest people in the country.