THE Chancellor’s Autumn Statement proved a mix bag for residents in Wiltshire, with local government taking a hit while police funding was saved from further potentially “devastating” cuts.

Council members and police representatives in Wiltshire have reacted to the announcements made by Chancellor George Osborne yesterday in his Spending Review, which saw a significant U-turn on tax credit reform and a softening of cuts in some areas.

The notable announcement affecting local government was that local authorities will be able to keep money raised through business rates, as well as from the sale of council-owned properties.

They would also be able to levy a new social care tax of up to 2 per cent on council tax.

George Osbourne is still however asking councils to find up to 30 per cent, some £4.1 billion, in savings over the next four years. This comes on top of the 40 per cent in budget reductions since the Conservative administration’s first budget announcement.

Another announcement by the Chancellor was that a new formula for school funding would be phased in. It is an attempt to address the significant differences in funding schools receive in different parts of the country.

Wiltshire Council have said they are “cautiously optimistic that Wiltshire will get a better settlement on the schools funding formula” however are insisting that the proof will be in the details when they become available.

On housing, George Osborne proudly stated “we are the builders” and promptly committed to doubling the nation’s housing budget as well as building 400,000 affordable homes by the end of the decade.

“We also welcome the proposal on affordable housing,” said a Wiltshire Council spokesperson.

“There are many residents in Wiltshire who would like to own their own home but do not qualify for social housing and feel they can’t afford to buy a house on the open market.

“We are committed to working with our partners to provide as many new affordable homes as we can and this additional government support is welcome.”

Dick Tonge, Wiltshire Council cabinet member for finance, said: “We believe the announcement [yesterday] is broadly in line with what we were projecting however more detail will become clear on December 16.

“We will be looking further into the detail of what this means for us over the coming weeks as part of our ongoing planning.

“Meanwhile we will continue to review how we can work more efficiently and do everything we can to protect our key frontline services.”

Lord Porter, chairman of the Local Government Association, was less optimistic. He said: “It is wrong that the services our local communities rely on will face deeper cuts than the rest of the public sector yet again and for local taxpayers to be left to pick up the bill for new government policies without any additional funding.

“Even if councils stopped filling in potholes, maintaining parks, closed all children's centres, libraries, museums, leisure centres and turned off every street light they will not have saved enough money to plug the financial black hole they face by 2020.”

The news yesterday that there will be no further cuts to police's spending was met with “considerable relief” by the Police and Crime Commissioner for Wiltshire and Swindon.

The Chancellor George Osborne announced that police forces would escape Whitehall cuts, saying: “Now is not the time for further police cuts. Now is the time to back our police and give them the tools do the job.”

Angus Macpherson, Police and Crime Commissioner for Wiltshire and Swindon, welcomed the news, saying that he had been braced for “significant cuts.”

“I am delighted that the Chancellor has recognised that this is not the right time to seek further savings,” said Mr MacPherson.

“We now spend £5m less on policing Wiltshire and Swindon than we did in 2010. In that time costs have gone up with inflation, so the real cut has been considerably more.

“I was also very pleased that George Osborne has said the Government intends to give commissioners greater flexibility to raise money locally through what we call the precept, or the police element of council tax.

“Historically our force has been under-funded and I will be looking carefully at the level of funding I need to protect community policing.

“Meanwhile it is business as usual for us. We will continue to seek ways of operating more efficiently and effectively. This will include working closely with our council partners, and with the other south west police forces.”

Wiltshire Police Chief Constable Mike Veale was also pleased to hear the Chancellor’s announcements on policing, however said the force is still in a delicate position.

“I welcome the Chancellor’s announcement that, on the face of it, there appear to be no further cuts in policing budgets in this Comprehensive Spending Review period,” he said.

“Wiltshire Police is already an extremely efficient force, as recognised in a recent report by Her Majesty’s Inspectorate of Constabulary which highlighted some of the steps we have already made in providing a value for money service.

“Despite [Wednesday’s] announcement, the force still remains in a challenging position on the back of the financial savings we have already made.

“We will have to continue to transform the service we provide. These changes are likely to be far reaching and necessarily extensive, and not only as a direct result of budget cuts.

“Anything which dilutes that relationship between the police and our communities will have long term operational consequences.”