New external recommendations to be considered by Dudley councillors to curb rising costs

A report by Grant Thornton, the external auditor recognises progress made to improve the council's financial position but also outlines some statutory recommendations. It will go to full council a week on Monday.

The recommendations include introducing a contingency fund, which can be used to 'manage any in-year pressures and fund the cost of change.'

They follow a report issued by the auditors at the end of last year which said the council’s finances needed attention, like other local authorities across the country.

In October last year the council had already announced a range of precautionary measures amid growing pressures on spending. It included introducing a recruitment freeze, stopping any new contracts, terminating agency and interim contracts and more.

The work is being led by an independent Improvement and Assurance Board, established following a peer review by the Local Government Association last year.

It is made up of members from the main political parties in Dudley along with senior officers and supported by the Local Government Association.

Councillor Patrick Harley, leader of Dudley Council, said: "I am confident the work we are doing goes a long way towards meeting the statutory requirements of the auditors.

"We have worked hard to identify further savings of £4.2m next year from spending controls and use of grants, as well as reviewing our capital programme and cost of borrowing.

"We are taking a firmer grip on our own finances and working hard to set a sustainable budget whilst protecting essential services.

Councillor Pete Lowe, leader of the opposition, said: "The recommendations made by the external auditors will be considered at full council later this month by all members who collectively want the best for this council and the residents it serves."

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