CIPFA Wants Local Authorities to Gear Up Their Income Generation
According to the CIPFA (Chartered Institute of Public Finance and Accountancy), local authorities need to look for ways in which to maximize income generation during the economic recession.
The move is necessary for raising funds in order to protect the frontline services from spending cuts.
CIPFA has said in a statement to the media that presently council staff, facilities and equipment are being used to offer the general public and private businesses a wide range of services. Everything from cleaning graffiti to security patrols, performing MOTs and maintenance and service of motor vehicles can be offered as services.
CIPFA however says that the current services which are on offer only use a fraction of the total income generation potential. It says that it is possible for authorities to raise funds by providing a wide range of services.
The services which CIPFA suggested include cash collecting services for other agencies, provision of advertising space, establishment of pet cemeteries and private sector meals on wheels.
CIPFA further suggested that local authorities could also involve themselves and their juniors in various back office functions for other organizations. Out of that, treasury management, handling HR issues, personnel, safety and equality rights and health are some of the back office functions which CIPFA finds specifically fund raise-worthy.
Cliff Dalton, an official with CIPFA’s performance improvement network, said that it is up to the councils to look to raise as much extra income as possible from providing services. He says that this has to be done as serious cuts to spending of frontline services is becoming inevitable and local authorities need to ensure that the effect of those cuts are felt to the minimum.
Dalton is one of the speakers who is due to speak at a CIPFA conference on Income Generation to be held in London on September 16.