Council expenses cuts are patronising, say OAP groups

Tuesday 18th January 2011, 12:47PM GMT.

Council expenses cuts are patronising, say OAP groups

Campaigners for the elderly have ridiculed what they see as a “patronising and hollow” move by councillors in Shropshire to cut allowances and travel expenses.

The full Shropshire Council last week approved a five per cent cut to basic allowances for members and also agreed to reduce various mileage allowances, bringing the figures down to a standard 40p per mile in line with staff travel rates.

Current rates range from 46p to 65p.

Proposing the cut to the basic allowance and travel expenses, council leader Keith Barrow said members should “share the pain” with staff who face a pay freeze and changes to their employment terms and conditions as the council looks to make massive budget savings.

But John Dodson, chairman of the Shropshire Association of Senior Citizen Forums, said: “Councillors using the phrases ‘share the pain’ and ‘tough decisions’ sound good.

“But in the case of councillors, it sounds somewhat patronising and hollow when compared with the increase in costs and loss of services that are confronting senior citizens and other vulnerable parts of our county population.”

Mr Dodson claimed the senior citizens’ forum made a decision two years ago to stick with offering 40p per mile for volunteers’ travel expenses, despite soaring fuel prices at the pumps.

He added: “I believe that council officers and members have been claiming up to 65 per mile for a long time.

“Therefore I think it is a hollow claim by councillors to now be ‘sharing the pain’ when this obvious cost to the council could have been cut at least two years ago.”

Mr Dodson said the association was asking whether every potential cost saving could be achieved without affecting frontline services and whether jobs, such as that of the chief executive, could be shared with Telford & Wrekin Council.

He said that a five per cent cut to the basic allowance was not as “eye watering” as some of the cost increases now being suffered by low income families, including many senior citizens.

By Dave Morris


  1. 1
    P.T

    Talk is cheap according to the old saying,councillors are on “Highest ever” allowances,the old councillors of yesteryear had hardly nothing at all from public funds and they did a good job.They wanted to help people in their community and were not in it for the money pity we can’t say the same today!

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  2. 2
    The Original Jake

    Organisations should reimburse employees for using their own vehicles for business purposes, it’s only right and fair. There is no mandatory amount; however, the maximum that an employee can receive before HMRC consider it to be a taxable benefit is 40p per mile (business mileage does not include commuting to/from a regular place of work).

    The fact that Shropshire Council were paying well in excess of this shows that they have been squandering taxpayer money for years. Forget sharing the pain, this move only brings the expenses payments down to the same level as the private sector.

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    • Powys Geezer

      Yes Jake, the same private sector that provides company cars for staff and in some cases, provides free fuel, too.

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      • The Original Jake

        Yes, Powys Geezer, the same private sector that has to generate its own wealth in order to provide such things (which, incidentally, are increasingly rare these days), rather than using taxpayer’s money that’s supposed to be spent responsibly.

        Anyway, did I suggest in any way that I thought the Council paying car usage allowance was a bad thing? No, I said it’s only right and fair. What I did say was that paying well in excess of the normal rate (as determined by HMRC) was wasteful, but that part seems to have escaped your attention.

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      • Elle

        You’ll find that in the private sector both the employer and employee pays tax on the benefit in kind for the provision of a fuel card or company car so it’s not ‘free’ at all. It’s called Class 1A NIC.

        And we don’t pay over the HMRC rate for mileage either.

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  3. 3
    Colin Case

    I agree with Original Jake. Their employees have only been getting 40p – so why were the Councillors claiming more than this anyway? Now it is just another job rather than a sercive to a community – and like many other “bosses” they just grease their palms – whether MP or Councillor.
    A very hollow gesture.

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  4. 4
    ph7

    The 40p a mile rate was an artificial level set by Gordon Brown in the early years of the Blair government and that level has been in place for nearly a decade. It has never been increased to account for the increase in the cost of fuel and in maintaining a vehicle (e.g. the cost of tyres). It was a running joke around officers that in some way we made a taxable profit on our mileage allowance.

    The allowance is there for two reasons, to pay for fuel, wear and tear and servicing costs incurred when using you private vehice for work and to recognise that the staff using their own vehicles are subsidising the council by reducing the need to buy a large fleet of vehicles.

    Mr Brown created the 40p limit to vastly increase tax take. The AA reckon for the average mielage I did for the Council would cost 56p per mile.

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