Wales budget, Bank regulation, Plymouth shared services, Academy pensions

Budget means stark choices for Wales
Welsh councils saw cuts ranging from 1.2% (for Newport) and 4.6% for Ceredigion, Denbighshire and Powys in the Welsh budget Wednesday. Before the budget the Welsh Local Government Association had warned that many councils were not prepared for the levels of savings they would have to make. The forthcoming year’s funding is the first to be based on figures from the 2011 census. Rural areas are seeing bigger cuts because of projected reductions in their populations with Newport’s 1.2% the result of a growing population and large number of school-age children. Welsh local government minister Lesley Griffiths said the total settlement was £4.26bn. The situation is, she said, “extremely challenging”. The cuts are likely to bring consolidation to Wales’ 22 councils according to commentators.

Local authority chief executives “capable”
Figures from Ipsos Mori have shown that 63% of people trust their local council. The stats led Ipsos Mori’s chief executive to tell last week’s Society of Local Authority Chief Executives (Solace) conference that council bosses are “far more capable than anyone ever imagined”. Only 33% of the public trust central government, according to the findings.

Northern Trust creeps up on half LGPS market share
Northern Trust now provides custody, accounting, securities lending and commission recapture services to 43% of the UK LGPS market, having been chosen to advise on the Merseyside local authority pension scheme. The addition of the £4.5bn scheme brings Northern Trusts total assets under custody for LGPS schemes to £65bn.

Harmonise banking regulation – BBA
G20 leaders should aim for better global banking regulation, according to a report from the British Business Association. Chairman Sir Nigel Wicks said that the high costs of complying with a range of different rules makes financial products expensive and disparate regulatory frameworks lead to less choice when some providers withdraw products from some countries.

Plymouth works with NHS, other councils on shared services
Plymouth City Council is to share IT services with Teignbridge District Council, and the Northern, Eastern and Western Devon Clinical Commissioning Group. The organisations expect to save £12m over ten years. East Devon District Council and Exeter City Council are also considering signing up to the new IT services company.

CLG consults on academy pensions
The Department for Communities and Local Government is consulting on whether academies should be pooled within the Local Government Pension Scheme. Academies are independent of local authority control and have seen contribution rates soar, sometimes to the point where academy status is no longer practical. The consultation runs until November 15.