Council Implements Hiring Freeze Amid Budget Challenges in Brighton
Brighton and Hove City Council enforces strict measures to address an £8 million budget gap, impacting staff and services.
Brighton, Hove, UK, Budget, Council, Spending Freeze
Brighton: The city council is taking some serious steps to get its finances in order. They’ve rolled out a hiring freeze and put a stop to overtime. Plus, they’re not using agency workers anymore.
Staff are being asked to consider unpaid leave or part-time hours. It’s a tough situation, but they’re trying to balance the budget by the end of the financial year.
They’ve set strict spending limits, and non-urgent repairs are being pushed back until April. This all comes after a warning that the council could overspend by about £8 million.
Things were looking better for a while, but then the Royal Pavilion and Museums Trust asked for help, which threw a wrench in the works. They’ve borrowed quite a bit from the council, and it’s really affected the finances.
On top of that, the council is dealing with the fallout from the Brighton i360 viewing tower’s financial troubles. Now, senior officials are being asked to find new ways to save money.
Exceptions to the hiring freeze can be made, but they need the chief executive’s approval. Some roles are essential for keeping things running smoothly, so they can’t just leave them empty.
They know that delaying non-essential spending might just push costs into the next year, but it gives them a bit of breathing room for now.
The council is also looking at adjusting project timelines and borrowing plans. Deputy leader Jacob Taylor mentioned that they’re taking strong action to control spending.
He understands this is tough for staff and will impact services, but he believes residents will get it. The updated financial situation will be shared soon as the cabinet meets next week.
Initially, they thought they’d face a £36 million budget gap for the next financial year, but that’s now looking more like £30 million after some recent announcements.
They usually save money by cutting staff or reducing services, which isn’t ideal. The biggest expenses are in adult social care, children’s services, and helping the homeless.
Good news is they might get an extra £1 million to help with homelessness, and they’re reviewing their properties to see how they can use them better.
This month, they’re expected to share their draft budget for 2025-26, and there’s hope for a balanced budget to be approved next month.
However, it looks like council tax will go up by 4.99%, and with more homes being built, the tax base should grow. But many folks are struggling to pay their bills, which could complicate things.
Another hurdle popped up with the rise in national insurance contributions. While councils were told they wouldn’t be worse off, not everyone is convinced that’s true.
Brighton and Hove City Council, like many others, relies on private businesses for services, and their costs are climbing too. They’ll likely want to pass those costs onto the council.
In the coming days and weeks, the financial picture should become clearer, but it seems the hiring freeze and spending restrictions are here to stay for a while.