Cuts looming after Rugeley Power Station axe

The council had hoped the Government would give it extra funding from a £300 million pot to deal with the impact of spending cuts in England – but it has been told it will receive nothing. That will leave it with a £3.9m gap in its anticipated budget over the next three years.

The council is losing £1m in business rates from the closure of the power station, which made up nine per cent of the authority's business rate income as was its biggest rate payer.

Now council leader Councillor George Adamson has warned that its entire spending will need to be reviewed and services slashed as they face needing to make cuts a third bigger than had already expected.

Cannock Chase MP Amanda Milling joined Councillor Adamson and his deputy, Councillor Gordon Alcott, at a meeting in London with local government minister Marcus Jones, where they were told there will be no new money.

Councillor Adamson told the Express & Star: "It's very disappointing. It went all the way to London for him to say no.

"We pointed out all the work we've done: We've saved all this money, shared services and encouraged money into the district.

"But he said that makes us fall between two stools. Our financial officer has shown that all the councils that qualify (for transitional funding) are Conservative councils.

"It's suspicious, playing politics with public services."

He added: "If we had been architects of our downfall I could understand – but we are not."

A council report, to be seen by cabinet members at a meeting tomorrow, states: "The savings are some 33 per cent in excess of that forecast pre the closure of Rugeley Power Station and are required to be implemented some 12 months earlier than initially thought.

"This will require some difficult decisions that will affect frontline services across the district."

Potential further cuts will be looked at during a meeting in September – and then residents will be asked for their views as part of a six week consultation.

Further consultation will be carried out once a draft budget has been published in December and then cuts will finally be decided on early next year.

According to the report, Mr Jones said while there is no money for the council in transitional funding, he will still seek ways to help the power station's redevelopment.

The Express & Star approached the Department for Local Government but had not received a reply by the time it went to print.