BASINGSTOKE and Deane Borough Council and Hampshire County Council are to suffer another big cut in funding from the Government – increasing the strain on public services.

On December 18, the Government announced that the borough council will receive a £964,000 (30 per cent) reduction in its revenue support grant as part of the provisional Local Government Finance Settlement for 2015-16.

Hampshire County Council has also been told it will receive a £30million (11 per cent) reduction in the money it receives from the Government.

The county council has been making savings after anticipating the fall in the amount of money it receives, and is on course to secure £102.5m of savings from its March 2015 budget. However, the county council anticipates that it will need to make another £100m of savings by 2017-18.

The grant helps to pay for most of the general council services, aside from specific grants including housing benefit payments.

Borough council leader Councillor Clive Sanders said: “Balancing budgets is getting harder and harder with the reduction in Government funding for our services and rising costs.

“Careful financial planning means we have been able to take 20 per cent out of our operating costs in recent years without losing our high levels of residents’ satisfaction or increasing our part of the council tax.

“This careful budgeting means that not increasing the borough’s part of the council tax will still be proposed in the budget report to be considered by Council in February 2015.

“We have done this by focusing on doing what residents have told us makes the most difference to their lives – regular rubbish and recycling collections, keeping streets clean and litter-free, and dealing with antisocial behaviour.

“We are also investing in major initiatives that will bring more jobs and an even better future for our residents.”

Cllr Sanders added: “It is no wonder that so many people said the council gives them value for money in our latest Residents’ Survey. But, with Government funding set to reduce further still, the council is having to plan to find at least £500,000 more savings each year in the foreseeable future.”

The borough council’s decision-making Cabinet will consider the grant in an updated budget report in January before making a recommendation to adopt the budget in February.

Hampshire County Council leader Cllr Roy Perry said: “The successes we’ve gained from starting the efficiencies programme early has given us the confidence to deliver the required savings for the 2015-16 budget, which is very good news.

“Building on that effective approach, I’ve asked for budget proposals for the 2017-18 financial year to be prepared much earlier than usual to ensure that we have sufficient time to consider options and consult.

“The county council has already achieved a great deal, but we need to go further still, which is why we’re undertaking a review across all of our services to identify where more efficiencies can be made.”