The four-year settlement will see every police service in the country bear a fair share of the deficit-tackling measures outlined by the Treasury in the October Spending Review.
In addition, the police service has also been given a greater say over how to spend allocated monies thanks to a new and simplified funding system.
As part of the settlement, the Neighbourhood Policing Fund will remain for two years to help chief constables protect visible local policing, while at the same time a specific fund for counter-terrorism will be maintained to ensure that police forces are able to deal with the continuing terrorist threat.
The settlement also sees a number of other funds brought into the main grant, in turn allowing police forces as much discretion as possible over how to spend their money.
This settlement follows on from the Government’s October Spending Review, which set out how total funding to the police will reduce by 20% in real terms over the next four years (or 14% once council tax precept forecasts are taken into account).
Every force has the ability to reduce the impact of the reductions to Government grants by receiving their precept.
Savings of GB pound 1 billion per annum
The settlement also follows a report by Her Majesty’s Inspectorate of Constabulary showing the police service could save GB pound 1 billion every year (by dint of the least efficient forces matching the most efficient) without reducing the visibility and availability of policing.
According to the Government, treating every police force equally is a transparent approach: it gives them the ability to plan effectively for the future, and is the very basis on which they are already working.
Policing and criminal justice minister Nick Herbert said: “These reductions will be challenging, but the Government is clear that police forces can make the necessary savings while protecting the frontline and prioritising the visibility and availability of policing.”
The minister continued: “The Government will play its part by reducing bureaucracy, driving more efficient procurement and working with police forces to ensure that the savings of over GB pound 1 billion per year identified by Her Majesty’s Inspectorate of Constabulary are delivered.”
In addition to the police settlement, Olympic Games safety and security for 2012 has been protected to ensure the safety of all those participating in, watching and visiting the event.
A GB pound 600 million ‘funding envelope’ will remain available, although the Government is fully confident it can deliver the full programme for Olympic safety and security for around GB pound 475 million.
A further GB pound 280 million will be made available to the London Organising Committee for the Games (LOCOG) to meet venue security costs: a substantial investment to ensure the 2012 Olympics are safe and secure.
The settlement also sets out police capital grants for the next four years. They will be allocated in the same way as the core grant, with each police force treated on an equal footing.
Response from ACPO to the funding settlement
Responding to the Government’s announcement, ACPO’s lead for financing and resources, chief constable Grahame Maxwell, said: “The announcement provides welcome additional detail for police forces on the funding they can expect in the coming years. The move to reduce ring-fencing of funds provides chiefs officers with some greater flexibility in allocating resources to where they are most needed to keep the public safe on a local basis.”
Maxwell added: “These figures make clear that there are difficult choices ahead – for the police service, for police partners and for Government. The cumulative impact of cutting police budgets year-on-year will translate into reductions of police officers and staff across the service.”
The extent of the cuts will depend on the financial circumstances of each force, and the different reliance that each force has on local and central funding streams. Each force will now take the time to study the financial implications in detail and discuss them with local partners.
“The police service will continue to work hard to ruthlessly drive out inefficiencies and collaborate with others wherever savings can be made,” urged Maxwell.
“Every chief officer remains committed to doing all they can to protect frontline service delivery to the public, including those parts of policing which the public see at work in neighbourhoods every day, but also the less visible but equally critical policing work: from counter-terrorism to public protection which, together, help keep people safe.”
