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IBEC want council funding overhaul

16/09/2005 - 15:26:48
Employers group IBEC wants a radical overhaul of local Government structures and the way councils are funded.

The present system of funding was unfair in that it was the business sector that had to pay the biggest part of local Government funding, according to IBEC.

It wants local charges and rates on business to be capped at the rate of inflation.

It also wants the collection base of those contributed extended to others.

It has suggested:

Significant consolidation of structures; the 80 town councils and boroughs should be merged with relevant county councils to remove duplication and overlap.

Services should be tendered for and delivered on a national basis. A range of functions should be out-sourced and a much greater role given to the private sector in delivering services.

Performance-related indicators, highlighting local authority efficiencies, must be developed and league tables measuring performance between authorities produced. An efficiency fund should be established by central Government, whereby marked improvements in local authority efficiencies are rewarded.

Waste collection, water supply and treatment must be funded by all users, including domestic users.

Efficiency measures and, where appropriate, financial support must accompany central Government decisions that increase the cost base of local authorities. It is not acceptable for local authorities to pass such costs on to business.

The cost of all services provided to Government departments or agencies should be fully recouped by local authorities from the appropriate department.

The base must be broadened to include all who benefit.

Failure to act risks ‘killing the golden goose’, according to IBEC director general Turlough O’Connor.

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