CASH strapped Redbridge Council has outlined options to save £4 million this year.
The authority is looking at a host of ways to reduce spending this financial year and the impact could spread from reducing social services to axing crossing patrols at schools.
Ian Bond, deputy leader of the council, said the toughest decisions will come next year when £20 million will need to be saved.
Figures released to the Guardian show social services and health is the area which has been proposed for the biggest spending reduction in 2010/11 - totalling more than £1 million.
Mr Bond, Lib Dem councillor for Roding Ward, said much of the reductions this year will be made by not filling current vacancies and continuing a recruitment freeze which has been in place since May.
He admitted that next year redundancies would be unavoidable in a bid to save the necessary £20 million and balance the council's books.
Action is having to be taken this year as the authority has recently lost about £5.8 million in Government grants.
Some areas it will hit harder than others. For example almost £1million has been proposed as a spending reduction in children's services, much of which was Government money.
Maybe less essential to some is the loss of £100,000 which the authority was due to receive from Government and which had to be spent on preventing violent extremism.
Mr Bond said: "That was an initiative the Government was funding and it seems a project which was poorly specified.
"The intention was to do with community cohesion and building links to prevent terrorism but it came in for a bit of criticism as it hints at our community being involved in extremism."
Mr Bond said most of the spending reduction this year would be achieved through savings in administration and back office services.
He said: "It's still people's jobs but it won't impact on service delivery which we will look at next year."
Within the council's finance section the overall spending reduction could be £294,000 this year.
Mr Bond said this could include savings on members' allowances a reduction in committees and cancelling the civic dinner this year - which in itself would save £17,000.
Within the social services and health department, staff reductions could save £209,000, a reduction in mental health accommodation could save £119,000, £213,000 could be saved in reducing service levels and a whopping £505,000 could be cut from the supplies and services budget.
Mr Bond said education is the biggest portfolio area in the authority but because majority of funding for schools comes from Government, social services and health is the biggest area where the authority can make savings.
He said: "In essence reductions in service levels will mean tightening up the criteria for accessibility.
"It's really the only way we can save any money so things like the frequency of visits."
Management savings have been outlined for the housing and leisure departments.
In housing only £8,000 has been identified as a potential reduction whereas £120,000 could be trimmed from the leisure portfolio.
Mr Bond explained that the disproportionate figure was because most of the housing work in the borough is outsourced whereas most of the admin work for leisure is done in-house.
Almost £110,000 could be saved from the planning department through potential job losses.
Within the highways portfolio £124,000 could be saved on maintaining public toilets in the borough and Mr Bond admitted all public toilets in the borough could be closed when next year's budget is finalised.
Also, £60,000 could be saved by cutting lollipop men and ladies and £6,000 could be saved by reducing the council's refreshment budget.
Mr Bond said: "(Lollipop people) provide a valuable service and will be appreciated by people but they are mainly at existing crossings, and a large number of primary school children are accompanied anyway.
"We have to ask the question whether it is value for money."
Mr Bond said there may be some redundancies this year although he stressed no decisions had been taken yet.
Members of the Lib Dem group will be discussing the proposals on Wednesday and the council is likely to hold a special meeting in October to decide on which of the recommendations to take forward.
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