£1 billion in savings from shared council services

Council leaders have said that more than a billion pounds of taxpayers’ money has been saved by councils sharing services, with every council taking part in collaborative service delivery.

The Local Government Association has published its latest shared services map which reveals that there are now 626 individual shared service arrangements across the country, resulting in £1.34 billion of efficiency savings. It demonstrates how councils are working together to share best practice to deliver efficient services for their communities.

Councils have embraced the challenges of today and now collaborate with every aspect of the wider public sector, dealing with a diverse range of challenges. The LGA highlights the Strategic Property Asset Collaboration in East Sussex (SPACES), which aims to release £30 million in capital receipts, £10 million increase in revenue and a 20 per cent reduction in CO2 emissions via co-location and collaboration over the next 10 years. This project has saved over £16 million since it was set up and has saved nearly £5 million in the last year alone.

Lord Porter, LGA chairman, said; “Councils have embraced efficiency and innovation in a way that is not seen anywhere else in the public sector and these fantastic new figures show they, once again, remain at the forefront of cost-effective service delivery.

“Councils sharing ideas and working collaboratively has contributed to more than £1 billion in efficiency savings that have helped local government to try and protect vital local services amid ongoing funding pressures.

“Councils’ commitment to improvement remains strong but, faced with an overall funding gap that will reach £8 billion by 2025, securing the financial sustainability of councils and our local services must be the top priority in the Spending Review.”