North Yorkshire Council will utilise AI to help cut costs and balance its budget, says a senior councillor responsible for the authority’s finances.
Councillor Gareth Dadd, deputy leader and executive member for finance and resources, said he was hopeful that front-line services would not be hit despite the authority reporting a £20m loss in funding from the government’s recent settlement.
Senior councillors will meet next week to discuss the council’s budget for 2026/27 amid warnings that “tough decisions” will need to be made due to the shortfall.
Although the authority will see an increase in its core spending power of around £101m over the next three years, council chiefs say this rise is driven entirely by the assumption that it will increase council tax by 4.99 per cent in each year.
Cllr Dadd said the loss of further funding following the scrapping of the rural services delivery grant last year was a blow, but he welcomed the move to a new three-year settlement rather than the previous annual allocation.
He said:
“We might not be happy with the settlement, but at least we know where we are.
“The challenge now is to protect the front-line services and squeeze out as much of the back, hidden costs as we can.
“Hopefully, with a clear sight of where we are over the next three years, the front-line will not be affected.”
But the councillor added:
“If we don’t stick to a sensible budget planning regime, we will be, I guarantee it, in the same position as those other authorities which are looking to increase council tax to the max and looking for special help from the government — in effect bankrupt.”
Cllr Dadd said the authority was only around 18 months old following local government reorganisation in 2023 and work was still ongoing to rationalise council services.
He added:
“Within a year or so, once we’ve sorted the front-line services out, we’ll be looking at back office efficiencies and utilising AI where it’s appropriate."
The senior councillor said he was confident capital projects already committed to would not need to be cut, while further investment in capital schemes as part of the authority’s ‘invest to save’ programme was also envisaged.
The councillor stressed that the council’s stable financial position was a result of the reorganisation which took place in 2023 involving the merger of the county’s district and borough councils with the old North Yorkshire County Council.
He added:
“Colleague up and down the country woud give their eye teeth to be in the position we’re in."
Members of the council’s executive will meet on Tuesday next week to discuss the proposed budget, which totals just over £650m for the forthcoming financial year from April 1.
Main section of A59 Kex Gill route set to open 'within weeks'
Harrogate Ladies' College celebrates best A*-A results in four years
Ashville pupils heading around the world after A Level success
Students celebrate A Level success at St Aidan's and St John Fisher
Everything you need to know about Symphonic Ibiza this weekend
Eight Ripon Grammar students achieve four A*s or more
Harrogate Grammar celebrates strong A-level results
Ripon pupil overcomes anxiety to pursue Paris dream
More details revealed about Harrogate's Christmas ice rink in Valley Gardens
GALLERY: Hundreds gather at Almscliffe Crag for view of solar eclipse
Ripon Summer FunFest returns for sixth year
Extreme heat to cause disruption on Harrogate train line
Firework Championships to light up skies over Ripon next weekend
Harrogate MP calls for Lifeline changes to be put on hold
Harrogate streets targeted in £27,500 chewing gum clean-up
New co-working space opens in Ripon city centre
Harrogate Cat Rescue receives year's supply of food for 80 cats
Covered ice rink to open in Harrogate's Valley Gardens this Christmas
Ripon's Jaflong named 'Best Bangladeshi Restaurant of the Year'
Rise in number of children in care contributes to Council's £10m overspend forecast
