Council will save over £18m with an 'ambitious transformation programme'

A Wick councillor agreed with other Highland Council members that surplus reserves should be invested in the organisation’s recovery from Covid and for the health and prosperity of people and businesses across Highland.

Wick and East Caithness councillor Raymond Bremner said at last week's meeting: “It is really important that the council looks to reinvest available reserves to boost the Highland economy as quickly as possible."

As the council’s non-earmarked, general reserves were projected to be to be in excess of the three per cent target at the year-end position, members widely recognised that this surplus, if invested, would play a core role in supporting the region's people and economy recover from the Covid crisis.

As part of the council’s collaborative budget, members were presented with an ambitious plan around recovery, improvement and transformation within the organisation, which will be supported by the council’s Change Fund. Nine key projects have been identified to help deliver approved and proposed budget savings, deliver wider cashable benefits, and support the identification of medium-term financial savings to close the budget gap from 2022/23 onwards.

In total, £3.686m will be invested in these key projects, which are projected to generate £18.659m cashable benefits.

The nine key projects – which range in duration from 12-24 months – are:

1. Economy (including growth investment and planning)

2. Asset rationalisation and new ways of working

3. Service redesign

4. Digital transformation (including connecting customers, digitising records, and Microsoft Cloud Navigator)

5. Social Care (including NHS Partnership Review, Adult Social Care, and Placement Services)

6. Climate change

7. Waste (including waste strategy and route optimisation)

8. Roads and transport

9. Procurement and contracts management

Councillor Alasdair Christie, depute leader of the council and chair of the Recovery Board said: “Highland Council is in a very fortunate position to have an adequate level of general reserves supporting the investment in the transformation programme in the form of a Change Fund – this will allow us to improve our services and ensure that all funds are spent where needed.

He continued: “The anticipated cashable benefits and savings delivered over the coming 12–24 months as a result of this investment in the programme will play a key role in mitigating any budget gap we may face from 2022/23 onwards.”

Speaking as leader of the opposition Councillor Bremner added: "I am pleased with the outcome from committee and look forward to ensuring that the projects due to benefit from this investment will build the organisation’s financial resilience for future years.”

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