Three councils aim to save £1m by combining top and senior management level posts. This is the first instalment of savings expected to come from a wider programme of sharing services.
The London Boroughs of Kensington & Chelsea, Hammersmith & Fulham and Westminster are developing plans to share services across all three boroughs. The boroughs are required to make savings of £100m and the leaders of the councils believe that making savings in this way is better than cutting services.
The savings will include £320k by sharing a single Director of Children’s Services;
£320k by sharing a single Director of Adult Services; £100k by sharing a single Director of Libraries and £150k by combining environmental services across Hammersmith & Fulham and Kensington & Chelsea. There will also be a saving of £120k by making a joint appointment to the Director for Schools’ Quality and Standards between Hammersmith & Fulham and Kensington & Chelsea.
The eventual proposals will protect vital front line services at a time of necessary financial adjustment and will lead to a 50% reduction in the number of middle and senior managers. There will also be a 50% reduction in the overheads attached to frontline services to the public.
Stephen Greenhalgh, Leader of Hammersmith & Fulham said: “Residents expect us to strain every sinew to deliver better services with fewer resources. One of the ways we can protect the front line is to strip out unnecessary and duplicated management overheads. This report shows how, by sharing the top jobs, it is possible to reduce the bill for senior managers by millions of pounds.”