Thousands of jobs to go in councils bloodbath

Councils in London are facing a jobs bloodbath, with thousands of posts being axed because of huge cuts in government funding.

Lambeth could lose 2,000 posts, 1,000 are at risk in Haringey, and Brent is expected to axe around 350 jobs — having already lost the same number.

It comes after the Standard revealed that 130 London libraries — almost one in three — are set to shut as councils try to avoid financial meltdown.

The GMB union believes a feared £79 million cut in Lambeth's budget over the next four years will result in 2,000 job losses. It says 270 jobs will go in Camden, while Richmond is considering a £35 million cut in spending. Bromley faces a £40 million cut.

In addition, the London Fire Brigade is facing a £60 million cut over four years to its £430 million annual budget, with its Tory leadership considering whether to axe 27 fire engines and lose 500 firefighters. Half of the brigade's £40 million reserves are due to be siphoned off to bail out the Metropolitan Police, the Standard understands.

Clive Smith, GMB regional organiser, said: "[Lambeth] contractors are also proposing cuts including CCTV, meals on wheels, parks and street sweeping. I am seeking the views of members as to what they want the union to do in this unprecedented situation."

Ann John, Labour leader of Brent council, said it had cut staff by 10 per cent and expected to have to repeat the exercise. Six of Brent's 12 libraries are closing. Councils will find out the full extent of the cuts when the Government confirms grant levels early next month. Ms John said: "I have never known a time like it in 20 years. We had big budget problems in 1998 but nothing like this."

Haringey is to lease its two cemeteries and crematorium after councillors backed away from selling them off. But a staff consultation on job cuts has begun amid fears of a £50 million budget cut. The Labour council is also rumoured to be seeking to sack and re-employ remaining staff on contracts with less pay, holiday and sick leave.

Haringey leader Claire Kober said: "The depth and speed of the Government's public sector spending cuts have put local councils under immense pressure to make urgent savings.

"It is not possible to remove upwards of £50 million from our budget without significant job losses. We will, wherever possible, make cuts by first deleting vacant posts, but further job losses are unfortunately unavoidable."