Written - Police Authority Budgets 2009-2010

Today I am writing to all police authorities to consult them on their budget intentions for 2009-2010.

In earlier correspondence on the settlement for police authorities in Wales, I have already indicated that with efficient budget management, police authorities in Wales should be able to keep their budgets and associated council tax rises to reasonable levels for the next financial year. In the light of what I have said I have been encouraged that for many authorities their budget growth is broadly in line with my expectations. I have written to all authorities again today to set out these expectations in even greater detail.  In order to do so in terms that leave no room for doubt, I am setting them out in the form of draft principles under Section 52B of the Local Government Finance Act 1992. A copy of the draft is attached.

These draft principles define the limits beyond which the Welsh Assembly Government would consider a local authority budget to be excessive.  The powers under the 1992 Act enable me to make these principles.  Once such principles have been formally made they pave the way for formal steps, if necessary, to designate or nominate authorities which set budgets which break the principles.

Although the legislation doesn’t require me to consult, I am keen to give authorities an opportunity to express their views to ensure we have a common understanding of the basis on which the budget figure for 2008– 09 and 2009 – 10 are defined. I am sure that authorities will appreciate the clarity I am giving.  The consultation period will close on 17th February.

Subject to consideration of the responses to the consultation, and final budget levels of authorities the next stage will be to proceed to formalise these draft principles. The Welsh Assembly Government will then be in a position to consider budgets against the established principles and whether it is necessary to commence the formal process of limiting individual authority’s budget and council tax increase.