Plan for 11 new councils will not proceed unless Local Government chooses maximum efficiency - Poots

Environment Minister Edwin Poots today warned councils they are putting local government reform in jeopardy because of a failure to embrace options that will achieve maximum efficiency to the ratepayer.

The Minister also warned local government to be realistic in their deliberations on funding for the reform programme. Minister Poots was addressing delegates at the Northern Ireland Local Government Association’s (NILGA) 'Delivering Change: Local Government for Tomorrow', conference in Newcastle.

Mr Poots told attendees: "The economic appraisal for the reform programme clearly sets out the options for the way forward for local government. In my opinion, our only option is that which delivers the most efficiencies and the best value for ratepayers.

"This means we will have to do things differently. Councils will have to work closer together to gain efficiencies whilst driving out unnecessary costs yet providing the best services possible.

"The economic appraisal has highlighted two areas where cost savings can be realised through cross council collaboration, including the creation of a single waste authority and business service organisation, and yet local government is opposed to these. We need to look beyond the creation of the bodies themselves, which can be negotiated in due course, and focus on the efficiencies that collaboration can potentially deliver.

"I urge local government to make the right choices now so that we can see the changes in efficiency and delivery that the public and I expect from this programme."

The Minister also warned local government attendees to be realistic in their deliberations on funding for the reform programme.

Mr Poots continued: "We are all conscious of the ongoing financial difficulties. It will take a compelling case to obtain central government funding for this programme considering other Executive priorities.

"I call upon local government to be realistic in deliberations on this matter particularly considering that councils and ultimately the ratepayers will be the direct beneficiaries of the financial and non financial benefits."

The Minister concluded: "Delivering change is long overdue. Regional collaboration across councils sets us in the strategic direction towards a world class, effective and efficient value for money system of local government in Northern Ireland. For me this is the only direction of travel and this agenda must be grasped and driven forward by all of us. I will not take forward a programme that requires significant public expenditure but does not deliver the long term savings that, if grasped, can be achieved.

"Tinkering around the margins, engaging in protectionism and not being prepared to take difficult decision will not be good enough. I will have no truck with such a process."

Notes to editors:

1. The NILGA conference was attended by around 250 delegates including elected members, local government associates, senior council staff, senior civil servants and a range of high profile public speakers.
2. The DOE commissioned the economic appraisal from the consultants PricewaterhouseCoopers. It outlines the available options and clearly demonstrates how reform can be achieved; the associated costs and the financial and non-financial benefits including a projected saving of £438million over a 25-year period.
3. In March 2008, the Executive announced the go-ahead for local government reform. The vision is of a strong, dynamic local government that creates vibrant, healthy, prosperous, safe and sustainable communities that have the needs of all citizens at their core. Central to that vision is the provision of high quality, efficient services that respond to people’s needs and continuously improve over time.
4. The Local Government Reform Programme is one of the most complex and challenging areas of the Reform of Public Administration. It involves a reduction in the number of local councils from 26 to 11.
5. It affects over 9,000 staff in local government and involves the transfer of approximately 1,000 staff from central government. It also includes the transfer of a large part of the planning function in the Department of the Environment.
6. It involves the delivery of three major pieces of legislation through the Assembly (Local Government Miscellaneous Provisions, Finance and Reorganisation Bills).
7. Structures have been put in place to ensure that all decisions are rigorously monitored and have the assent of the five main political parties, which are each represented on the Strategic Leadership Board. The Strategic Leadership Board is chaired by the Environment Minister, Edwin Poots. The Board was established to oversee the effective creation of 11 new councils. Members include ten political party representatives, nominated by the five main political parties and NILGA.
8. The Business Services Organisation (BSO) is a recommendation in the PwC report, which will deliver a number of transactional functions (e.g. payroll, finance, HR and procurement) on a regional basis.
9. The Single Waste Disposal Authority (SWDA) will operate as an incorporated single waste management group taking on the responsibilities of the existing three Waste Management Groups.
10. All media enquiries should be directed to the DOE Press Office on 028 9054 0003. Out of office hours please contact the duty press officer via pager number 07699 715 440 and your call will be returned.