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07:55 GMT, Sunday, 12 July 2009 08:55 UK

Council job cuts 'not inevitable'

Council jobs and services could be safe despite a squeeze on budgets, according to the Welsh finance minister.

Welsh councils face spending cuts of millions of pounds, but Andrew Davies has told BBC Wales it need not lead to cuts.

His comments came after local government leaders warned that the budget squeeze could mean 2,000 job losses in Welsh councils next year.

Mr Davies said the savings could come from changes in working practices.

He has told BBC Wales' The Politics Show that it was too early to talk about job losses.

"I don't think there's anything inevitable about service reductions or indeed cuts in jobs," he said.

"I think the kind of radical ideas we could see will be increasingly charging for public services or new charges for some public services"


Professor Tony Travers

"I'm not saying that might not be the outcome some time down the road but at this point in time I think we have enough evidence to know what works."

He said there needed to be a radical change in working practices in the public sector.

Job cuts

But Steve Thomas, chief executive of the Welsh Local Government Association (WLGA), is certain job cuts will follow.

Andrew Davies AM

"We saw in [Welsh] local government something like 700 job losses last year," he said.

"We've done a survey recently and we're told there are a further 2,000 planned for next year. I think that will accelerate as budgets worsen over the forthcoming years."

Cuts of £216m are due in day to day public sector spending in Wales next year.

There could be further cuts of £200m in spending on buildings and other assets.

Public finance expert Professor Tony Travers said spending constraints could mean the public had to pay for some services.

"I think the kind of radical ideas we could see will be increasingly charging for public services or new charges for some public services," he said.

"Already think tanks have raised the issue of whether there ought to be more means testing, meaning should better off people get all the benefits like child benefit that they receive and perhaps they shouldn't in future.

"And then of course .. you could stop providing whole services if it was possible to do so."

The Politics Show is is on BBC One Wales at 1100 BST on Sunday.




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Related to this story:
Q&A: Council funding at risk (16 Oct 08 |  UK Politics )
Councils 'to make 700 job cuts' (06 Mar 09 |  Wales )
Councils hit by Icelandic banks (09 Oct 08 |  Wales )
£500m cut 'to hit public sector' (12 Feb 09 |  Wales )
City's £200m shops plan scrapped (10 Jun 09 |  South East Wales )

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