Call for action to tackle overspend (From The Northern Echo)

Call for action to tackle overspend

4:48pm Wednesday 8th February 2012 in Redcar News

AN MP has called for immediate action after a damning report was published into the accounts of a council's social care services.

Ian Swales has asked for talks with Redcar and Cleveland Borough Council's chief executive, leader and head of adult and children's services to find out what action is being taken to tackle a £6.8m budget overspend.

The Audit Commission report says that the council does not have robust systems and processes in place to secure a stable financial position and manage financial risks.

Report author Lynne Snowball identified "significant weaknesses in financial planning and control arrangements" leading to an overspend of £6.8m by March 31, last year.

Redcar MP Mr Swales said: "It is simply not acceptable that residents of Redcar and Cleveland have to suffer when they need social care services, because this council cannot manage their finances.

"Three-quarters of the savings they have to find in the next four years are because they have failed to manage their budgets effectively. This is now beginning to have a real impact on the community.

"I will be asking the leader of the council, George Dunning, what his plan to get the council out of this mess is, and demanding action is taken immediately. I will not sit and watch this happen to local people without someone being accountable. We need urgent action to rescue this vital service."

Coun Dunning said: "We have put our head of finance in position to help sort out that particular problem.

"We are going to look at every part of our spending in the department and we are looking to see exactly where we can make savings.

"It is part of our manifesto to look after the most vulnerable in society and that is what we are doing.

We are prepared to meet up with Mr Swales to discuss what we are doing to resolve the issue."