AFTER last night’s Cabinet meeting when unprecedented financial pressures were revealed, savings targets have been set for each of the council’s services.

Following the meeting council leader, Councillor Ian Carr said: “The council’s strategy for managing its finances is a careful balance between good returns on our investments and security. This year’s situation is something we have never seen before. Most of the gap we face this year is as a result of tumbling interest rates over the last few months.

“To meet the savings targets we have set, the size of the organisation will have to be reduced. A number of vacant posts will not be filled and some redundancies must be expected.”

Economic Portfolio Holder, Councillor Peter Giddings says: “The council makes investments over a variety of terms. “Some have recently matured and others are due to do so during the coming year. Since a number of major banks no longer meet our criteria for investment, we have to take a very measured approach to re-investment. “Of course we are keeping the market under review, but at this stage we are investing for shorter terms to protect the money invested, although returns are reduced as a result. However, we will be well placed to take advantage of improved interest rates as things look up.”

Internal council briefings following the Cabinet meeting have indicated that between 20 and 30 post which are currently held vacant will be deleted from the Council’s staff establishment and a further 20 to 30 posts are at risk of redundancy across the organisation. A consultation process with people whose posts may be at risk will start in the coming weeks, in accordance with the relevant employment legislation.