Communities braced for cash axe pain as council to slash budget

Published on Monday 25 January 2010 08:46

EDINBURGH'S festivals, charities and community groups are set to be hit with savage cuts in council funding, it was revealed today.

The city council has drawn up a list of 96 proposed cuts to third party funding for next year as it attempts to fight a gap of more than 90 million in its finances over the next three years.

A new internal report by council officials – leaked to the Evening News – shows that 1.5m of cuts are being lined up for the financial year beginning in April.

&#149 Click here to see where the cuts are proposed

Several of the cuts are expected to threaten the future of community groups in the city, with services for young people set to be hit particularly hard.

The city's festivals are also set to suffer – and there are fears about the impact the drastic measures will have on Edinburgh's international reputation as a festival city.

The Festival Fringe Society, International Festival, Book Festival and Film Festival are among nine festivals that will see council funding reduced by 1.5 per cent next year, saving the council 45,000.

But the cuts are set to get more severe in future years, with 3.5 per cent budget reductions proposed over the following two years.

Festivals Edinburgh – the group set up to represent all of the city's festivals – will see funding reduce by 11 per cent over the next three years, to 157,552 in 2012/13. Councillors will get the final say on each of the proposals as part of the budget process for 2010/11.

Councillor Gordon Buchan, culture and leisure spokesman for the Conservative group on the city council, said: "Tourism is a major industry for the city, which creates a lot of jobs.

"We want to make sure that cuts do not reduce the attraction of Edinburgh and doesn't reduce the ability to compete with other tourist destinations in Europe and the UK. We need to look closely at the festivals. They are one of the major attractors of people to the city, but we also need to ensure that we get good value from them.

"We have seen recent events that cost the taxpayer money – such as Hogmanay – and some events like The Gathering that have run over budget. We need to ensure they are all good value to the taxpayer."

However, the Festival Fringe Society, which is to see its 100,000 council grant reduce by nearly 10 per cent in the next three years, said it could still continue to grow despite the cuts.

A Fringe spokesman said: "The council has been open and transparent with us as part of the budget process, so we knew this was coming.

"For all that we may regret a cut in council funding, it is understandable within the wider picture of the current economic climate.

"Our public funding is very important to us but we do have all sorts of funding from other sources and 2009 was a fantastic year for us so we can still keep growing."

Cultural venues are also set to be hit hard by the funding squeeze. The Queen's Hall, Festival Theatre, King's Theatre, Traverse Theatre, Royal Lyceum and the Filmhouse are all set for cuts of around 2.5 per cent next year then a further 3.5 per cent in each of the following two years.

Across all areas, council officials are proposing 1.57m of "third party" savings, which amounts to a 4.7 per cent saving.

Nearly two-thirds of the savings fall within the children and families department. It has proposed withdrawing grant aid altogether from a series of groups that are judged to operate "lower priority activities". In notes to councillors, officials said: "Where total grant withdrawal is proposed, this may result in the shutting down of organisations and there may be a requirement to assist financially where service closure is required."

Among those to suffer 100 per cent cuts is a service for carers operated by the Eric Liddell Centre in Morningside.

The Munro Community Centre at Clermiston could face a survival fight with its 11,500 of funding set to be withdrawn, while the Granton Information Centre is also set to lose all of its council funding.

An 80,604 grant to the North Edinburgh Trust to help it support community councils is also set to be withdrawn, while the Broomhouse Centre would lose a 15,000 grant used to promote council services.

Councillor Phil Wheeler, the city's finance leader, said: "Come budget day on 11 February, this council is going to have to face some very difficult decisions. We can no longer afford to continue running all of our services in the same way as we are currently.

"The council is working closely with the voluntary sector to ensure that grant applications reflect the council's priorities. This will help members to make the right decisions about third-party payments when the council meets to decide the detail of these in March. At this stage the proposals are officer recommendations only."

Extra money gives schools more room

COUNCIL chiefs have agreed to spend more than 730,000 creating additional space and facilities at two primary schools.

The construction contracts were awarded at a meeting of East Lothian Council's cabinet for work to extend Prestonpans Infants School and Sanderson's Wynd Primary School, Tranent.

The new extension to Prestonpans Infants School will create a refurbished tutorial room, additional toilets and cloakrooms. Work is due to begin at the school this month.

The extension at Sanderson's Wynd Primary will add two new classrooms to the school.

Councillor Stuart Currie, the council's housing leader, said: "The extensions will offer new teaching facilities while providing construction jobs for two local firms."

Carer group on the brink of collapse

THE Eric Liddell Centre's Ca(i)re scheme supporting voluntary carers is among dozens of services that would be on the brink of collapse if the cuts go ahead.

Staff at the Morningside centre were shocked to learn its 40,596 of council funding could be cut, saying that a "highly-valued programme" is provided.

Queen's Hall to get its funding slashed

THE Queen's Hall – one of Edinburgh's most revered cultural venues – is among the organisations set to face massive cuts to its budget.

It will see its 100,000 funding cut by 3.5 per cent next year, and over the next three years its council grant will slide by 12 per cent.

Adrian Harris, general manager at the Queen's Hall, said: "If the levels of cuts for years two and three go through it will be difficult for us to absorb."