Local Government Minister John Healey has confirmed the first step in an overhaul of improvement support for councils, as they work to increase efficiency and improve services to release £5billion, which can be used to reduce pressure on council tax bills or invest in local services.
He praised councils for being on track to make £4.2bn annual efficiency gains this year - well ahead of the £3bn target.
Mr. Healey announced the allocation of £185m - of which the East of England will receive nearly £22m - through council-led Regional Improvement and Efficiency Partnerships, to pioneer innovative ways to transform and improve services, and cut waste.
He also published a new prospectus, outlining the new approach for supporting councils to make efficiency gains. The document:
- For the first time draws together the improvement support that is available from central and local Government to make it easier for chief executives, chairs and others to find the support they need, when they need it
- Commits central and local Government to simplifying the improvement support for local government by making changes to the way that they deploy their improvement resources
Communities and Local Government and the Department for Health are also announcing joint funding totalling £4m today for RIEPS to spread best practice in local health services in every region, and to promote the personalisation of health, wellbeing and social care.
The announcement comes as the whole of the public sector is being asked to deliver greater value for money. In this year's Budget, the Chancellor confirmed that local authorities will be expected to contribute to the efficiency target for the whole public sector of £30bn by 2011.
The Regional Improvement and Efficiency Partnerships will be promoting ways to achieve greater value for money and their strategies will set out how they plan to achieve at least 3% per annum gains in their region. Based on the targets in the 2004 Spending Review period, 3% per annum gains during CSR07 for the East of England would amount to £469 million.