26th January 2012

WEYMOUTH: Budget 'black hole'

By Harry Walton

STORM clouds are looming over Weymouth and Portland’s finances which could be facing a budget “black hole” of nearly £1 million for 2013-2014.

Current finances in Olympic year couldn’t be more positive with a bold budget planned for 2012-2013 which officers say will see no council tax increase and no cuts to services.

But finance director Jason Vaughan explained that the situation more than a year ahead was very different.

He said: “We have achieved the 2012-2013 budget proposals through savings from our partnership with West Dorset which will see both authorities share £2.5 million savings over the coming year.

“In simple terms, the action we took joining with West Dorset has dealt with current storm clouds, but there is another one heading our way in 2013-2014 and we have to have our heads up for that.

“This is because the projected budget for Weymouth and Portland for 2013-2014 shows a shortfall of up to £900,000 based on best estimates.

“That will definitely be a year when most councils will be struggling to balance the books because of changes to Government funding streams for grants.”

He added that the situation was so serious that councillors have already agreed to set up a working group to look at this potential financial problem in a year’s time and it will report back to the council’s management committee in October 2012.

Mr Vaughan said: “We will then look at all options with a view to ensuring that Weymouth and Portland doesn’t just face this financial challenge but takes all necessary steps to deal with it.

“Our focus is very much on forward planning, not just in 2013-2014 but for several years ahead of that as well because we believe it will be a very difficult period for the borough.”

WEYMOUTH: Budget 'black hole'

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