Cost reduction drive kicks off

Review taking place to analyse authority's spend

County Hall, Glenfield

A major efficiency review aiming to help close a £90m budget gap is now underway.

Leicestershire County Council has brought in external help to carry out a top-to-bottom analysis of the authority’s £1.3bn yearly spend.

Consultants, Newton, are in place and starting to gather data to pinpoint opportunities to unlock savings. The focus includes:

  • Targeted prevention in communities - supporting residents before they reach a crisis point and need formal support from the council
  • Managing growing demand for services - focusing on improving outcomes for residents and maximising independence
  • Improving how the council awards contracts – ensuring high quality services as close to people's homes and communities as possible
  • Efficient services – reviewing delivery to ensure high quality and efficiency
  • Reviewing budget saving plans – including cross-organisational opportunities, and maximising income

Initial opportunities to speed up existing savings projects are expected in December and more detailed recommendations early next year.

“Residents are expecting us to reduce costs – and that’s what we’re doing.

“Closing a sizable £90m gap is no easy feat. That’s why we’ve brought in leading professionals to look at every inch of the council and help us to bring down costs.

“Newton have a strong track record, across the public and private sectors, and will be led by the evidence. This isn’t about eking out a few hundred-thousand pounds here and there. This is about working with leads across the council and our partners to identify and test big opportunities to do things differently."

“Getting maximum efficiency for our tax payers is at the heart of this. Newton’s fee mechanism also provides assurance around excellent value for money for our residents. These are very experienced people who will give us the fresh eyes and best practice required for such a major task.”


The review is costing up to £1.4m and expected to identify sizable, multi-million-pound savings which will go a long way towards helping to close the £90m revenue budget gap.

Like other councils, Leicestershire faces financial challenges and by 2029, forecasts: 

  • A £90m revenue budget gap
  • An £80m shortfall in the capital funding
  • A £118m cumulative deficit for special educational needs and disability support 

Like other councils, Leicestershire faces financial challenges and by 2029, forecasts:

  • A £90m revenue budget gap
  • An £80m shortfall in the capital funding
  • A £118m cumulative deficit for special educational needs and disability support 

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