Westminster City Council will lay off 520 people in the town hall's most brutal ever staff cuts after its Government funding was slashed. The central London borough announced on Tuesday that it will lose around 15% of its 3,720-strong work force in a bid to save £29 million from its budget.
Largest Ever Job Cuts
Council sources said it was the "largest ever" number of job cuts the borough had seen in one go and will hit departments "across the board".
Paul Fisher, cabinet member for value for money and finance, said: "While today's announcement on job cuts is difficult, we believe setting the right course now will pay dividends in the years ahead. The focus for these reductions is on management roles and not front-line posts. Westminster needs to protect taxpayer money, become leaner and look to more commercial opportunities to generate revenue."
Staff Consultation and Timeline
Staff were given the news during a meeting at City Hall led by chief executive Stuart Love on Tuesday. There will be a consultation, with those affected set to leave between April and December 2027.
It comes following an "unprecedented" £100 million drop in central government funding over the next three years. Under Labour's Fair Funding Review five London boroughs - Westminster, Kensington & Chelsea, Wandsworth, Hammersmith & Fulham and the City of London - face huge cuts and imposing massive council tax hikes.
Budget Shortfall and Council Tax
Ministers argued that the town halls have had "historically very low" council tax levels and should bring bills more in line with national averages.
Westminster councillors have said the borough faces a £160 million budget shortfall by 2029 and if nothing is done "council tax would need to increase by 200% in order to fill the gap". The borough currently sets the second lowest council tax in the country, with Band D homes paying £1,047-a-year including the £510 City Hall precept.