Prophet_of_Pwnage Posted October 9, 2008 Share Posted October 9, 2008 What happens when there's a huge flood like in Gloucestershire, or a fire like at Buncefield, or a sudden doubling in the price of electricity the week after the budget is set, and there's no spare money to deal with it, then? The councils with no surplus seem to manage okay. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted October 9, 2008 Share Posted October 9, 2008 Guy On R4 now blaming the ratings agencies. Quote Link to comment Share on other sites More sharing options...
fluke Posted October 9, 2008 Share Posted October 9, 2008 Guy On R4 now blaming the ratings agencies. Councils inevitably have large sums of money in bank accounts: 1) Pensions funds 2) Operational funds (ie, the difference in timing between collecting money and spending it) Kent have a 2.6 billion budget, so as a %age 50 million is a small exposure for them. Quote Link to comment Share on other sites More sharing options...
Robot Piston Posted October 9, 2008 Share Posted October 9, 2008 The councils with no surplus seem to manage okay. The first damp bit of skirting board and the government chucks them a suitcase full of money. I agree it should be used to reduce council tax. Tthey can't be trusted with our money so should not be allowed to hoard it... Quote Link to comment Share on other sites More sharing options...
pablopatito Posted October 9, 2008 Share Posted October 9, 2008 IMO, councils shouldn't be allowed to build up such large surpluses in the first place. If there's a surplus one year, it should be used to fund a reduction of the council's council tax the next year. When I worked for the council March was always a really busy time because all the council's departments were pi$$ing money away in order to spend their surplus so that their budget wouldn't be cut the next financial year. There is a flaw to your plan. Quote Link to comment Share on other sites More sharing options...
General Melchett Posted October 9, 2008 Share Posted October 9, 2008 Rearrange to get a description of the people responsible for these ahem investments: w7nkers incompetent Sympathy none I've shot be should If I can work out that putting my money in these things was stupid, after spending 4 minutes googling and applying 1 minute of common sense and recent experience (BCCI etc), then what is the excuse of these suppossed profesionals? Quote Link to comment Share on other sites More sharing options...
jdc Posted October 9, 2008 Share Posted October 9, 2008 The councils with no surplus seem to manage okay. All councils have reserves. It's the law. Even if they didn't, they'd build up money at the start of the year, since most people pay Council tax in 10 months or faster, and they pay wages etc over 12. Quote Link to comment Share on other sites More sharing options...
SaintJay Posted October 9, 2008 Share Posted October 9, 2008 and what about the stuff we don't know about yet? NHS Trusts? Police Forces? Schools Budgets? Small UK Business? I doubt it will stop with this list. There will be others coming out of the woodwork shortly, all looking sheepish. Quote Link to comment Share on other sites More sharing options...
giveusthefacts Posted October 9, 2008 Share Posted October 9, 2008 What annoys me, is that these authorities employ "Strategic Financial Directors", "Chief Accountants", "Best Practice Directors" etc, etc, all on fat salaries with gold plated pensions. They are just as bad as the Bank CEO's, If they have made bad investments, they should be sacked. They should be put in the stocks outside the Town Hall. If I was a small businessman with a meagre investment in these "ICY Frozen" banks, I would be demanding that if the Councils get compensated so should I. I can see the riots this will cause on the streets when the inflated council tax bills arrive Quote Link to comment Share on other sites More sharing options...
MRMX9 Posted October 9, 2008 Share Posted October 9, 2008 What happens when there's a huge flood like in Gloucestershire, or a fire like at Buncefield, or a sudden doubling in the price of electricity the week after the budget is set, and there's no spare money to deal with it, then? These aren't 'surpluses' they are funds used for the day to day management of the Council (paying teachers and staff) including business rates/tax income/govt grants. Do you suggest the bigger councils running schools and social care (with billion pound plus budgets) keep hundreds of millions of pounds in a safe in the town hall? Of course its the Councils with surpluses (i.e. who have saved prudently in the good years unlike the UK govt) who are the ones we should be praising - its the Councils with smaller balances than they have exposure to Icelandic banks who we should be worried about! The figures for some councils (tiny districts and London boroughs) are scary! Quote Link to comment Share on other sites More sharing options...
MRMX9 Posted October 9, 2008 Share Posted October 9, 2008 These aren't 'surpluses' they are funds used for the day to day management of the Council (paying teachers and staff) including business rates/tax income/govt grants. Do you suggest the bigger councils running schools and social care (with billion pound plus budgets) keep hundreds of millions of pounds in a safe in the town hall?Of course its the Councils with surpluses (i.e. who have saved prudently in the good years unlike the UK govt) who are the ones we should be praising - its the Councils with smaller balances than they have exposure to Icelandic banks who we should be worried about! The figures for some councils (tiny districts and London boroughs) are scary! Sorry jdc - replied to the wrong post! Quote Link to comment Share on other sites More sharing options...
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