A LOCAL authority is facing £11 million lower budget cuts than it previously feared.

Durham County Council says it has carried out detailed analysis of the Government grant allocation and the impact of the George Osborne’s Comprehensive Spending Review.

A report to go before council next week says that early indications suggested the CSR would mean the council had to find savings of £135 million by 2019-20.

But after further examination of the details, the council now says it must find £123.7 million savings over the same period, including £40 million of savings in the coming financial year 2016-17.

However, despite the improved financial position, the report to next week’s council cabinet says the authority will still need to make “extremely difficult decisions” and adds: “there will be a definite impact on frontline services”.

Council leader, Cllr Simon Henig said: “We now have better clarity on the impact of both the Government’s CSR and provisional financial allocation and whilst it is pleasing to note that we can revise our target down by £11 million, tremendously hard decisions remain inevitable.

“The saving requirement for 2016/17 remains a very significant challenge at £40 million, furthermore, large saving are expected in each of the three following years.

“We will continue to listen to the public via consultation, to use reserves whenever it is appropriate and to work with communities and the voluntary sector under the Durham Ask programme to try and lessen the impact of cuts of this scale.”

The report will be put before Cabinet when members meet at County Hall on January 13.