Tell George Osborne what he can do with his Budget!

Did you have your say on the city council’s budget proposals? Have you got the taste for balancing the books? Well, you now have the opportunity to give Chancellor George Osborne some timely Budget advice. Read on …

What would you like to see in Budget 2015?

The government is seeking your views on what you would like to see in Budget 2015, which will take place on Wednesday 18 March.

The government encourages open and transparent policy-making, and welcomes original and innovative ideas. Your views will be considered by HM Treasury as part of the policy-making process.

Please submit your representation by filling in our short survey.

If you would prefer to submit your representation as a file attachment, please email budget.representations@hmtreasury.gsi.gov.uk

For information on the correct procedure for submitting your representation, please view the guidance.

To allow for full consideration in advance of the Budget, any submission should be sent to HM Treasury by Friday 13 February

Follow HM Treasury on Twitter for all of our latest news and Budget coverage.

More money for Scotland’s health boards

NHS in Scotland to receive additional £65 million

The Scottish Government has today announced that an extra £65m will be made available to NHS in the next financial year. The funding boost for 2015/16 will ensure that all health boards will receive uplifts next year which are at least 1% above the rate of inflation.

This will bring all health boards to within one per cent of parity under the NHS funding formula, NRAC, a year earlier than planned.

Health Secretary Shona Robison (pictured above) said the funding increase demonstrates the Scottish Government’s commitment to protecting the NHS. She said: “This Government has not only protected the NHS budget, but increased it.

“Our NHS services faces challenges as a result of the increase in patients, with more complex illnesses, and the rising costs of expensive new drugs.

“This £65m additional investment increases the resources available to health boards will help alleviate these pressures and ensure our NHS can continue to deliver effective and sustainable care to all patients across Scotland.”

“We’re clear that all patients in Scotland should be treated as quickly and as effectively as possible, with the right care, in the right place, at the right time. With this increase in funding, health boards are being given more support to achieve this.

“Despite Scotland’s fiscal resource budget being slashed in real terms by 10 per cent by Westminster since 2010, we’ve increased the health resource budget by 4.6 per cent in real terms.”

Council makes BOLD case for ‘transformation and cost savings’

Restructure aims to deliver a ‘leaner, more agile council’

Detailed proposals have been unveiled to make Council services more efficient and customer focused, while addressing a budget gap of £67 million over the next three years.

As one of fastest growing local authority areas in Scotland, Edinburgh is facing an ever increasing demand for Council services, while the funds available to meet this demand are set to stay the same over the next few years.

The proposals follow a blueprint for the future organisation of the Council which was agreed in December 2014, subject to consultation. This report highlighted key areas where future cost savings and service improvements could be achieved. They included: improved neighbourhood and locality working; a more efficient corporate centre; improvements to the way the Council interacts with residents (Channel Shift); working with third sector partnerships and managing Council property effectively (property rationalisation).

The Council has an agreed pledge of no compulsory redundancies and it is envisaged that some reduction in roles will be addressed through natural turnover of staff.

The Council will also look to improve its approach to how staff are redeployed across different service areas, engaging and consulting with employees and Trades Unions as appropriate during this process.

Finance Convener, Councillor Alasdair Rankin (pictured above), said: “The Council needs to take significant steps to tackle the financial challenges it faces as demand for our services continues to increase. At the same time, we want to make services for residents more efficient and effective.

“We set the direction of travel last month when Council agreed proposals for a new organisational structure, enabling more effective decision making at neighbourhood level and improved partnership working with third sector organisations. We are now considering detailed proposals around this and how we plan to improve the way we interact with residents.

“We believe these priority areas for change will enable us to achieve service improvements as well as cost savings. Of course change on this scale brings challenges but we need to take decisive action now to meet our targets and create a stronger, leaner, more agile Council to better serve the people of Edinburgh.”

The latest proposals will be considered by the Finance and Resources Committee on Thursday 15 January. Further detail on proposals around Council property and workforce controls will be provided in the Spring.

Council budget cuts: meeting at Royston Wardieburn next week

Womens International Group (WIG) are holding a follow up meeting from our 9 December one – the council budget Cuts will be announced soon.

The meeting will take place on:

Wednesday 14 January

at Royston Wardieburn Community Centre at 6-30pm.

We are hoping the local councillors will be in attendance to be able to answer questions regarding the cuts .

All welcome

Anna Hutchison (on behalf of WIG)

COUNCIL BUDGET NEWS:

It was announced this week that more than 1,200 council jobs could go over the next three years under proposals to plug the city’s £67m funding gap.

The council insists there will be no compulsory redundancies and said the planned ‘transformation of services’ was designed to make them more efficient and customer focused.

City council Finance Convener Cllr Alistair Rankin said: “Of course change on this scale brings challenges but we need to take decisive action now to meet our targets and create a stronger, leaner, more agile council to better serve the people of Edinburgh.”Among the proposals under consideration are offering more services online, having a neighbourhood approach for face-to-face services and cutting grants to the voluntary sector by as much as 10%.The latest restructuring proposals will be considered by the Finance and Resources committee on Thursday and consultation with staff and trade unions is also being planned.

See below for relevant Council reports:

Item_7.3___BOLD_business_cases___delivering_a_lean_and_agile_Council

Item_8.1___Organise_to_Deliver___Next_Steps

New basic fee-free bank accounts will help millions manage their money

Government secures deal with the big banks on basic bank accounts – ending fees for failed payments

For the first time, basic bank accounts will be truly fee-free, helping people to manage their money without fear of running up an overdraft. Accounts will be available to anyone who doesn’t already have a bank account or who can’t use their existing account due to financial difficulty.

The Economic Secretary to the Treasury Andrea Leadsom recently hailed a major agreement between the government and the banking industry to establish new basic bank accounts that will end bank charges if a direct debit or standing order fails.

New basic bank accounts will help people who do not have a bank account or who are frozen out of existing accounts because of previous money problems.

Following extensive negotiations with the banking industry to bring basic bank accounts up to scratch, nine high street banks and building societies covering over 90% of the UK current account market have agreed to offer a better deal to customers.

Those banks are:

Barclays
the Co-operative Bank
HSBC
Lloyds Banking Group (including Halifax and Bank of Scotland brands)
National Australia Group (including Clydesdale and Yorkshire brands)
Nationwide
RBS Group (including NatWest and Ulster Bank brands)
Santander
TSB

The changes will minimise the risk that basic bank account customers will be forced into overdraft by fees or charges.

In some cases, charges had been as high as £35 per failed item, and uncapped, meaning charges could accumulate to hundreds of pounds over time and drive people into serious debt.

Basic bank account customers will now also be offered services on the same terms as other personal current accounts that the banks provides, including access to all the standard over-the-counter services at bank branches and at the Post Office, access to the entire ATM network.

There are an estimated 9m users of basic bank accounts in the UK.

This deal comes on top of the estimated £300 million cost to the banking industry of providing basic bank accounts today. It is vital that banks offer products which are suitable for day-to-day transactions for all consumers.

The Economic Secretary Andrea Leadsom recently met Toynbee Hall’s specialist financial advisers and people who may have found it difficult to access mainstream banking services in the past, to discuss how the new basic bank accounts will make a difference.

She said: “I welcome the banks’ agreement to remove these charges from their basic bank accounts. This means that people who don’t have an account, or who would struggle to get a standard account due to money problems, will be able to manage their money with certainty and clarity.

“It will end people being effectively locked out of their basic bank accounts due to high fees and charges when their payments failed.

“Ending this unfair situation is a real step forward for the banking industry’s most vulnerable customers and improving access to banking is a key part of our long-term economic plan.”

BBA Chief Executive, Anthony Browne said: “Banks in the UK lead the way when it comes to providing accessible banking and take their responsibility seriously – the proportion of the population with no account at all is less than a third of that in the US and Europe.

“Now we will be helping even more people access banking services than ever before, as these accounts are designed for people who don’t have a bank account today and are vulnerable.

“These basic accounts will make it easier for more people to manage their money. They will have many features that will help people to budget, pay bills and save up. We are delighted to be offering this service to those who will really benefit.”

Gillian Guy, Chief Executive of Citizens Advice, said: “A good bank account is an essential ingredient to managing your money. Any barriers to essential banking services can make it even harder for people keep on top of their finances. Up until now, some basic bank account customers didn’t get a debit card, were afraid of being hit with fees for unpaid direct debits and some were shut out of banking altogether.

“Citizens Advice has been at the forefront of the campaign for decent basic bank accounts, and is pleased that the Government and banks have listened to the problems experienced by our clients. We look forward to continuing to work with the Treasury as well as with banks to make sure these new standards meet the needs of customers.”

Graham Fisher, Chief Executive of Toynbee Hall, said: “The announcement to create genuinely accessible and inclusive fee-free bank accounts for the most vulnerable people is a significant step forward in creating a truly financially inclusive society.

“At Toynbee Hall we have helped a significant number of clients to set-up new bank accounts, which can at times be a difficult and frustrating process, but with these changes we will be able to help more people access this incredibly valuable financial product.”

The terms of the agreement are published today so that every customer knows what they can expect from their bank in future and the new accounts will be in place by the end of 2015.

The terms of the agreement make clear that the accounts should be made available where people are ineligible for a bank’s standard current account, and either:

have no bank account
have a bank account elsewhere, but want to change provider
have a bank account, but are in financial difficulty and want their bank to open a new, functional account for them.

Note: Not all banks will apply these criteria in full – some may choose not to set any eligibility requirements and offer customers a choice from their full range of personal current accounts.

New Year, new support for small businesses

Innovate funding to help small businesses grow

Most small businesses awarded Innovate UK funding from January 2015 will automatically receive business support to help them grow faster. The new growth support offers small and medium-sized businesses (SMEs) the chance to:

participate in a growth workshop
complete an online diagnostic of their business
discuss their business needs with a growth expert to develop a growth plan

Based on the results, SMEs will gain opportunities to get:

coaching
mentoring
entrepreneurial skills training

This will cover areas such as:

developing a business model
sales
strategic marketing
access to finance
leadership
change management

Innovate UK will meet the costs of this SME growth support. It will be provided by different organisations depending on where the SME is based:

in Scotland Scottish Enterprise and Highlands and Islands Enterprise

This growth support is being offered after a successful pilot project showed that businesses that combined our funding with additional business support were able to grow their businesses more quickly.

SMEs that combined funding from Innovate with business coaching:

saw an average 26% increase in turnover
created an average 4.6 new jobs

Mentoring and training in business skills also helped businesses to gain confidence and to make the most of their potential.

One of the companies that took part in the pilot was Bolton-based Bindatex, an innovative small business that is set to more than treble it’s turnover after receiving funding support from Innovate UK and business coaching.

Founder Chris Lever (pictured above) said: “It helped to take me out of the day-to-day production and think more strategically about how I was going to continue moving the business forward. I now have a clearer picture of where I want the business to go.”

See latest funding opportunities

New Year resolutions – and how to keep them

It’s a tradition on New Year’s Eve that you make a resolution for the year ahead. Some people pledge to lose weight, others decide to stop smoking and lots more say they are going to get fit and more active – but all too often you break that resolution just a few weeks into the New Year.

If you’ve made a New Year’s resolution – and you’re really, really determined to stick to it this time! – here’s some help and advice to assist you on your journey.

Maybe this time …

1. LOSE WEIGHT and/or GET FIT

One of the most common New Year resolutions is to eat better, exercise more and lose weight. After all of the rich and indulgent feasts you’ve had this holiday season, it might seem easy to stick to a diet of leafy greens at first. But when those cravings set in, it can be hard to stay on track with your diet. Plus, cold weather makes it harder for some people to get motivated and hit the gym.

If you’re looking to eat more healthily, ignore faddy diets – portion control will play a big part in your success. One good way to be more aware of what you’re eating is to use a kitchen scale to measure ingredients or weigh out portion sizes. A solid kitchen scale shouldn’t cost the earth and it’s an investment worth making.

Check out the library for books on good food and healthy eating, and Pilton Community Health Project’s website is a mine of useful information too www.pchp.org.uk

Many people sign up for a gym membership at this time of year but for a considerable number that’s as far as it goes – it can be hard to get motivated to leave the house on cold January days and evenings; it’s so much easier to put it off to another day! Gym memberships can also be very expensive – again, Pilton Community Health should be your first port of call for local exercise and healthy activities.

With Ainslie Park Leisure Centre on your doorstep (551 2400) it’s worth checking out Edinburgh Leisure to see what’s on offer both locally and across the city: telephone 458 2100 or visit www.edinburghleisure.co.uk

If you need a little reminder to be active, a fitness tracker like the Fitbit Flex can be a big help, but starting at around £50 they are quite an expensive reminder! I find trying to tie my shoelaces is enough of a reminder for me …

2. QUIT SMOKING

You know smoking is a bad habit that hits both your health and your wallet, but stopping is tough – it can take some people years and many, many failed attempts before they kick the habit. If you want 2015 to be the year you finally quit smoking, there are all kinds of products that can help wean you off the fags: there’s gum, patches and nasal spray inhalers – all of which help give you a boost of nicotine without having to inhale all that nasty smoke.

Many are turning to e-smoking as an aid to kicking the tobacco habit. If you’re looking to try out e-cigs as a way to cut back on actual cigarettes, you can now get a starter kit, charger, and carrying case set at increasingly competitive prices.

People who are trying to quit smoking the traditional way also appreciate having additional support options, and Allen Carr’s Easy Way to Stop Smoking book is still the most popular on the market.

NHS Lothian offers a range of stopping cessation sessions and Smokeline Scotland is also a great place to go for support, advice and tips.

http://www.nhslothian.scot.nhs.uk/HealthInformation/HealthAwareness/Smoking/Pages/default.aspx

Smokeline 0800 848484 www.canstopsmoking.com

3. SAVE MONEY AND REDUCE DEBT

Whether you want to get out of debt or just start saving for a big ticket item, there are lots of people who will be trying to spend their money more wisely in 2015. Setting up a personal budget can help you monitor your spending.

One tactic you can try to help you stay on budget is doing all your shopping in cash when you can, rather than using a debit card, cheque or credit card to pay for items – it’s estimated that people who pay for things with a card can spend almost 20% more on a transaction than those who are paying with cash.

If you’ve racked up a lot of debt on a credit card and you’re paying a hefty rate of interest, you should look around to see what deals are on offer and transfer that debt over to a 0% balance transfer credit card. By doing so, you’ll be able to avoid paying interest on that debt for a set period – some up to 35 months – and this will give you plenty of time to start tackling your debt without worrying about the interest accumulating.

The Money Advice Service has a good website for money saving advice, but if you are already in debt – get help, don’t let your problems escalate. Pilton CAB and Granton Information Centre are two local agencies that can help.

Don’t be tempted by payday loans or worse – the interest is astronomical. Check out Credit Unions which are a much cheaper and ethical way of helping you to manage your money.

Remember, if you spent too much over Christmas those bills will be arriving soon, so ACT NOW.

www.moneyadviceservice.org

www.moneysavingexpert.com

www.capitalcreditunion.com

North Edinburgh Credit Union, Wardieburn Drive 466 5006

Granton Information Centre, West Granton Road www.gic.org.uk 551 2459

Pilton CAB, Drylaw Shopping Centre on Ferry Road 202 1153 www.citizensadviceedinburgh.co.uk/

The Scottish Government has also just launched a new website to help guide you to the support and advice you need. Visit:

http://www.lightentheloadscotland.gov.uk/

4. LEARN A NEW LANGUAGE or SKILL

It’s never too late to learn something new and the New Year is the perfect time to try something different, whether for leisure or to open up new employment opportunities.

Locally, check out Edinburgh College – new courses start this month – and Craigroyston Community High School is running a wide variety of adult day and evening classes.

www.edinburghcollege.ac.uk

www.edinburgh.gov.uk/info/20070/adult_and_community_learning

5. GO GREEN

Thinking about going green this year? There are lots of small changes you can make to your lifestyle to reduce your energy bill, recycle materials in innovative ways and help do your part to make the planet healthier. www.greenerscotland.org is a good place to start for ideas.

6. VOLUNTEER and/or GIVE TO CHARITY

Many people plan to be more generous with both their time and any disposable income they may have in 2015 (some chance, I hear you say!)

Looking to donate time, not money, then? There are lots of ways you can donate your time – local and national charities and voluntary organisations are crying out for willing volunteers in all sorts of roles. There’s bound to be something to suit you – a good place to start is Volunteer Centre Edinburgh – go to www.volunteeredinburgh.org.uk to see what you can do.

Time Banks are another great way to donate your time, energy and skills and get the same back in return – visit www.edinburghtimebank.org.uk for more information.

So, you’ve decided on your resolution? Here are some tips to help you stay on track when times get tough:

Set yourself realistic goals, not impossible targets. Don’t think about losing two stone in a month, or running a marathon after a fortnight’s exercise!
Don’t be all-or-nothing – you’re likely to have the odd slip along the way but don’t allow that to make you give up
Remove temptation – no point in making things even more difficult for yourself
Reward yourself along the way
Thing positively and keep your eye on the prize – there may be tough times but the end result will be worth it!

GOOD LUCK!

Relief for payday loan customers as costs are capped

‘Today’s crackdown on the payday lending market comes not a moment too soon’

A cap on the cost of payday loans has come into effect. Payday loan rates will now be capped at 0.8% per day of the amount borrowed, and no-one will have to pay back more than twice the amount they borrowed.

The Financial Conduct Authority (FCA) said those unable to repay should be prevented from taking out such loans.

Payday loan customers will see the fees and interest they pay capped from today amid moves to stop such debts spiralling out of control.

The new rules mean that people using payday lenders and other short-term credit providers will see the cost of their borrowing fall – and those who cannot afford to repay their debt on time will never pay back more in charges than the sum they initially wanted to borrow.

For all high-cost short-term credit loans, interest and fees must not exceed 0.8% per day of the amount borrowed.

The Financial Conduct Authority (FCA), which oversees the industry, said the move will lower costs for most borrowers and ensure that charges are proportionate to the size and duration of the loan.

Default fees for borrowers who fail to repay on time will be capped at £15 under the measures, which are the latest in a string of clampdowns on the much-criticized sector.

The new rules mean that, for example, if someone borrows £100 for 30 days and pays back on time, they will not be charged more than £24. Someone who borrows £100 but struggles to repay their debt will never pay back more than £200, including fees and charges.

Short-term lenders said the caps will lead to fewer people getting loans from a smaller group of lenders. They said that initially at least, the cost of a payday loan will generally be at or near the cap.

Stricter rules for credit brokers are also being applied from today. Concerns have been raised that consumers have often mistaken credit brokers for lenders.Royal Bank of Scotland (RBS) recently highlighted a case involving someone looking for a £100 loan who ended up being charged £700 because their details were passed to 10 different middlemen firms.

The FCA has previously seen evidence of fees being taken by credit brokers without informed consent and under hidden or misleading terms and conditions. Under the new rules, a firm will not be able to request a consumer’s bank details or take a payment without their explicit consent first.

Martin Wheatley, chief executive of the FCA, said the payday loan cap will make the cost of a loan cheaper for most consumers.

He said: “Anyone who gets into difficulty and is unable to pay back on time, will not see the interest and fees on their loan spiral out of control – no consumer will ever owe more than double the original loan amount.”

Consumer group Which? said its 2014 research found that an average of 880,000 households took out a payday loan each month.

It’s ‘Clear Up Credit” campaign said the regulator should look to make it easier for people to compare the cost of different types of debt, including unauthorised overdrafts and credit cards.

Which? executive director Richard Lloyd, said: “Today’s crackdown on the payday lending market comes not a moment too soon. Lenders must now start competing on price and treating their customers fairly.

“The regulator has clearly shown it’s prepared to take tough action to stamp out unscrupulous practices, and they must keep the new price cap under close review. It’s now time to turn the spotlight on unfair practices in the wider credit market.

“We want to see an end to excessive fees that also make it hard to compare different loans, including those charged for unauthorised overdrafts and credit cards.”

The payday loans industry has undergone a series of shake-ups since coming under the regulation of the FCA last April.

The Office of Fair Trading, FCA’s predecessor body, expressed concerns that some payday firms appeared to base their business models around people who could not afford to pay back their loans on time, meaning the cost of the debt ballooned as they were forced to ‘roll it over’ – and extra fees and charges were added on top.

After coming under the FCA’s supervision, payday lenders were banned from rolling over a loan more than twice and and they can only now make two unsuccessful attempts to claw money back out of a borrowers’ account.

Russell Hamblin-Boone, chief executive of the Consumer Finance Association, which represents short-term lenders, said: ” This is the start of a new era for short-term lenders who are operating in an entirely new lending landscape under the FCA.

“We expect to see fewer people getting loans from fewer lenders and the loans on offer will evolve but will fully comply with the cap.

“The commercial reality is that the days of the single-payment loan are largely over – payday loans are being replaced by higher value loans over extended periods.

“Initially, prices of loans will be at or near the cap. In time we may see risk-based pricing, but innovation could be stifled by the threat of the regulator as lenders seek FCA authorisation.”

The FCA said the reforms needed time to bed down before their effect was assessed but that it would be monitoring the situation carefully. The reforms will be reviewed in two years.

Edinburgh TUC urges city council to demand extra powers

Edinburgh Trade Union Council has urged the City of Edinburgh Council to demand extra powers and additional finance from the Scottish Government. Responding to the city’s budget consultation, Edinburgh TUC secretary Des Loughney said city politicians of all parties should lead and promote a campaign to retain good quality public services.

Statement from Edinburgh Trade Union Council about proposed draft Council Budget 2015/2016

Council Income 2015/2016
The Council states that its income from Council Tax will be £209m and the income from the Scottish Government and rates will be £731m. The income from the latter sources is
£12m less than the previous year. There has been no allowance from these sources for an increase due to inflationary costs. Such an allowance would be around £50m. Although we have been told that the Scottish Government would compensate local authorities for the Council Tax freeze there is no evidence that this is the case in 2015/2016.

The total savings/cuts that the Council is proposing to make is £22m. If the Scottish Government permitted the Council to increase the Council Tax by 5% and if it increased
rates similarly then the £22m reduction would not be necessary. It is therefore well within the powers of the Scottish Parliament to fund/allow local authorities to avoid these cuts.

Looking further ahead the Scottish Parliament could pass legislation to allow local authorities to generate funds which would not be paid by citizens of the City. One of the
ways would be a hotel bedroom tax which is already operated by some European cities. At a level of £2 to £5 per night per adult the tax would be easy to collect and generate significant amounts. The income could be used specifically to support tourist services. This would, however, release resources for other services. It is our understanding, from what experts state, that a tax at the level specified would have no impact on the number of tourists coming to Edinburgh,

Another possible tax is the so called supermarket tax. Supermarkets make considerable profits from the purchases of the people of Edinburgh. These profits do not presently
remain in the city. We think that it is only right and just that in the age of austerity that Scottish local authorities have the power to impose a levy on local supermarket profits and
that this money is earmarked to tackle poverty and inequality in the city.

Comment: the cuts are unnecessary – the money can easily be found if there was the political will of the Scottish Government. The Council must lobby the Scottish Government to provide more money or to allow the Council to generate more money.

The Council must not be fobbed off by the Scottish Government saying that the problem is solely due to Westminster cuts. This is not true. We believe that there would be political support from the public for more money if the context was properly explained.

Additional Income 2015/2016

We believe that the Council’s description of its income and expenditure neglects describing the additional income that is necessary for the Council to honour its policy commitments
regarding poverty and inequality.

In the area of Social Care the Council requires £7.445m
more than it is budgeting for in order to provide recipients with the Social Care they require, at the current quality of service. If the Council was to tackle in-work poverty of
those voluntary and private sector workers who provide Social Care it would need an additional £15m. This would ensure that all people providing Social Care were employed on basic local authority terms and conditions.

Comment: the Council should maintain its policy of reducing poverty and inequality. It should tackle in-work poverty.

Expenditure 2015/2016

The Council’s description of possible savings/ cuts did not provide an impact assessment which the public, never mind trade unions, required to make a proper judgement. There is
no useful information on loss of jobs, loss of wages, loss of job security, impact on in work poverty, impact on the Council’s general anti poverty strategy, and impact on equality or
impact on quality of services.

The Council does not describe, for example, the increase in expenditure that is required to meet increasing demand for social care services. Money needs to be made available for
an increasing volume of demand but also, as recommended by the Care Commission and SSSC, to employ staff on reasonable terms and conditions. Some sources have estimated that the Council may need over £15m to do this in 2015/2016 but this is not mentioned or commented on.

An overall assessment of the savings proposed seems to suggest that the ‘third sector’ will be required to save £4m directly through cuts in grants although other savings may be
required indirectly. £4m is equivalent to about 200 full time jobs but it is impossible to say how many real jobs are under threat or whether savings will be achieved by wage freezes
or cuts in other terms and conditions. There will not necessarily be forced closures of whole organisations.

The biggest element in the savings/cuts package is ‘workforce savings’ referring to the Council’s own staff. This seems to total some £6.6m. The main element of this is cutting
sickness absence. From a trade union point of view we think it is glib to state that sickness absence can be cut without a cost to staff morale, to having a disability friendly workplace
or a workplace where you can work until you retire. After cutting sickness absence for years the City Council as an employer now mean making working life very difficult for
those who are disabled or relatively old (that is 50+).

Comment: If the Council expected us to make a considered comments on their draft budget they needed to supply us with a lot more information including a detailed impact assessment in relation to Council anti poverty and equality policies.

The purpose of an equality impact assessment has been defined as:

‘Equality Impact Assessment (EIA) is a systematic and evidence based process which verifies that the Council’s policies and practices are equality proof and not discriminatory.’

We suspect that some of the savings/cuts proposed in the Council’s draft budget will have a negative and discriminatory effect on older people, women and disabled people.

Our overall recommendation and plea to the Council is that its Budget Meeting on 12/2/15 consider a motion to the Scottish Government demanding extra powers and additional finance to render unfair and counter-productive cuts and savings unnecessary.

The Council must call on all Edinburgh MSPs and MPs to support its motion regardless of political party. The Council should convene a civic conference and ask a range of community organisations to back its demand for extra resources.

The Council should lead a campaign to make sure we keep the services we need for a decent quality of life. The Council should actively promote good public services whether provided directly by the Council or indirectly by subcontracting.

Des Loughney
Secretary, Edinburgh TUC

We’re no’ playin’ your game!

Community groups unite to oppose council cuts

Community groups, local organisations and concerned individuals have united to protest against imminent council cuts. The say the council’s budget proposals will hit the poorest people hardest and have written to local councillors urging them to support the fight against slashing local services.

Last week’s hastily convened meeting at Royston Wardieburn Community Centre was organised by Women’s International Group and was attended by more than twenty local people – community councillors, management committee members, health service workers and local staff were all there. No councillors were present at the meeting.

WIG’s Anna Hutchison explained that the Women’s International Group had attended a Budget Challenge meeting and were unhappy about the way the consultation exercise was conducted – no-one attended to explain what was being proposed or to answer questions, and the Challenge was being presented as a fait accompli – ‘these are your only options’.

The group also felt it was wrong that local people were being asked to take part in a process to cut services that would pit one area or service off against another, so decided to call a public meeting to gauge the views of the wider community.

“It’s not for us to do the councillors’ work for them”, she said. “We elect councillors to set budgets and run the city. We expect them to listen to us and to protect our precious local services.”

The Council faces a considerable budget challenge. Between 2015 and 2018, the Council’s annual budget will remain around £950 million but the council expects the cost of providing services to be £1.01 billion.

The council says it must make savings of £67 million over the next three years ‘to make sure we can provide the services that are important to the people of Edinburgh’.

Granton and District community councillor Dave Macnab told the meeting: “I’ve been struck by the fact that this budget consultation is almost like a game of Monopoly – except this time you are dealing with real people and real services. This is no game and I think people are sleepwalking into this process. What these abstract proposals mean in reality is cuts on an unimaginable scale”.

He went on: “I am quite disturbed – officials seem to be accepting that this is the way it must be. I would ask: what happens if we say ‘NO’?”

West Granton West Pilton community councillor Willie Black said that recent problems of antisocial behaviour in the area could be traced directly to poverty and unemployment – and that austerity measures, slashed budgets and cuts in local services would make an already bad situation much worse.

He also questioned the council’s figures, suggesting that the scale of cuts is much deeper – not £67 million but £142 million over the next three years.

Willie Black said it was vital that communities combined to fight the cuts being imposed upon them – ‘cuts that are being inflicted on us through no fault of our own, and yet the poor are the people who get the blame’. He said: “Alliances are being formed – we’ve got to put all our energies into a collective effort to challenge these cuts.

“And we’ve got to ask the councillors: in the war against the poor, where do you stand?”

The meeting was then thrown open for debate and discussion. Among the points raised during a passionate and enthusiastic session:

It is unclear what the £67 m in the Council’s budget leaflet represents. It looks like the savings to be made over 3 years is significantly higher than £67m – this needs to be clarified.
There are a number of headings in the Council’s budget paper termed ‘Other’. These sections involve huge sums of money but there is no explanation as to what this relates to. This needs to be broken down so that we can see what it includes.
The savings identified are very confusing – it isn’t clear what they relate to – this should be explained better in a way that lay people can understand
It is impossible to make an informed decision based on this information
The language used excludes people – it is gobbledygook!
The language used attempts to disguise the fact that ‘savings’ are actually cuts – people need to be aware of this.
The Council are asking the citizens of Edinburgh to approve their cuts – this is not
It is disgusting that elected members are not here – they always have excuses for not turning up to important local meetings. Councillors are elected to represent their constituents – we vote for them to do a job on our behalf and they get paid to do it.
Communities are being expected to identify which services they want to cut – this is unacceptable
The consultation is a sham – the decisions have already been made. The same thing happened with the consultation on the closure of Royston Primary School – they didn’t listen to the community then. The facts they presented to local people were proved to be complete nonsense. Can we trust them on the figures we have been presented with this time round?
Councillors and senior officials never put their hands up and admit their mistakes (ie the trams, Royston Primary School, Craigroyston High School)
Community councillors are sent huge amounts of information from the Council – it is impossible to read through it all and often to understand because of the language used. This makes it very difficult for community councillors to present this information in a meaningful way to the wider community
The Council has already sub-contracted services out to private firms (someone received a letter re their single person discount – it was sent from a firm in Derbyshire). This is privatisation by the back door
It is accepted that the Council needs more cash to fund local services and that the council tax freeze isn’t helping the situation. The Council tax needs to be changed to make it more progressive so that the better off pay more.
We are constantly told that events like the Festival and the Hogmanay celebrations are a good investment as they bring extra cash into the city but we never actually see the figures and we don’t see the benefits in our communities. This income should be audited and it should be set aside for local services. There needs to be better transparency in the Council’s financial systems.
Education should be a priority – libraries and community centres are often a starting point for learning – they provide safe spaces in the community for children, young people and adults
Libraries and community centres are fantastic local facilities and provide a great service to all the community.
CLD workers are an important resource in local communities.
If jobs go it won’t be the folk who are high up the tree who go
There have been many examples of serious mismanagement at the Council – the trams project is only The Council are now considering extending the tram line to Leith and paying for another feasibility study. This is a complete waste of public money. Edinburgh has become a laughing-stock around the world because of this fiasco.
Many local organisations refused to display the leaflet publicising this meeting because they said it was political. Some workers are worried that the Council will cut their grants if they are seen to be publicising this kind of event. This position needs to be clarified by the Council.

Impact of cuts

Cuts in local services will result in more crime and anti-social behaviour – this is a false economy as it costs more money to deal with the consequences of crime.
Services for children and young people helps to keep them away from crime – it is more effective to prevent problems from happening in the first place. Cuts in funding to projects who work with hard to reach young people will be a disaster for young people and the wider community. Youth projects are trying to build trust and relationships with young people which can help to steer them away from crime.
Many kids haven’t had a chance in life. Services such as Panmuir House are the last chance saloon for kids who do get into trouble. Close it down and then what happens?
Cuts in services and closures will affect the health and well-being of local people – research shows that going to libraries and museums, taking part in groups and activities improves health – cuts in services will result in more illness and will put more pressure on the system
Cuts in jobs means public sector workers are being asked to take on more responsibilities – this puts people under stress and can lead to them going off sick. They then get pulled up by management and put under more pressure to return to work – this adds to the stress factor.
Workers in the public sector are scared to go off sick these days despite the fact that they have valid sick lines– there has been a change in management culture in public services in recent years (examples given about situation in the NHS)
The next generation in this community will end up even more disadvantaged because of the impact of the cuts
People are already struggling without more cuts to basic services. Many people do not have enough to survive on once the bills are paid. Benefit sanctions are being used to penalize people for minor things (being late for an interview). People are having to go without money and food and having to rely on food banks and support from local services.
High levels of unemployment and poverty in the past resulted in an increase in crime and anti-social behaviour. Many people moved out of the area and this had a negative affect on the people who were left. This is likely to happen again if we don’t have services in place to support people.

The meeting came up with a number of ideas about what the council could do to address budget difficulties:

Introduce a ‘tourist tax’ to bring cash into the city – this could be used to subsidise local services
Introduce a hotel levy during the Festival and the Christmas and New Year Celebrations
Raise the council tax – the Council has the power to do this. They will need to ensure that this does not penalize poorer people.
Reduce expenditure on things like taxi-fares, council lunches, official visits abroad and the like – this is unnecessary expenditure.
Find other ways of making savings that don’t involve cutting services or sacking workers who provide front line services
Dig out the last feasibility study on extending the tram line to Leith – this will save £1/2m.

The meeting agreed to write to local politicians and to forge links with other groups across the city. The North Edinburgh anti-cuts campaigners also plan to meet early in the New Year to discuss sending a deputation to the city council’s budget meeting in February.

If you want to have your say:

Take the budget challenge

But hurry – last day for submissions is tomorrow

Friday 19 December

Background reports:

Budget_proposals_2015_2016_updated_28.10.14

Item_7.3___2015_18_Revenue_and_Capital_Budget_Framework