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COUNTIES WARN OF DISMAL FINANCIAL PROSPECTS NEXT YEAR

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Responding to the yesterday's announcement of standard spending assessment figures the Association of County Counci...
Responding to the yesterday's announcement of standard spending assessment figures the Association of County Councils said that many counties face dismal financial prospects next year.

An ACC statement said that in real terms most counties are facing budget reductions and will have less money to spend on services. More than half will only be able to increase their spending by up to 1.75% which will be barely sufficient to meet existing commitments, let alone new demands and pay awards.

ACC chairman Dennis Pettitt said jobs and services would be 'on the line' as councils struggled to avoid being charge capped'.

He added: 'It is all well and good for the government to talk about possible efficiency savings. But councils nationally are now facing a real terms cash reduction in the amount they spend on services. The only way counties will be able to cope with this reduction and meet the government's targets will be to make further cuts.'
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