Westminster City Council is planning to make 520 staff redundant — around 14 per cent of its entire workforce — as it scrambles to save £29 million from its budget.
The central London borough announced on Tuesday that the cuts, described by council sources as the largest ever seen in one go at Westminster, would hit departments across the board, with the highest proportion coming from senior posts.
Staff were told the news at a City Hall meeting led by chief executive Stuart Love on Tuesday morning. A consultation on the plans will follow, with those affected expected to leave between April and December next year.
“Difficult” but necessary, says finance chief
Cabinet member for best value for money Paul Fisher acknowledged the cuts would be painful, but insisted the council had to act now.
“While today’s announcement on job cuts is difficult, we believe setting the right course now will pay dividends in the years ahead,” he said.
“The focus for these reductions is on management roles and not front-line posts. Westminster needs to protect taxpayer money, become leaner and look to more commercial opportunities to generate revenue.”
Fisher added that greater use of technology, including AI, alongside more commercial activity, would let the council “become more efficient while maintaining the services residents value”.
A £160 million black hole
The cuts come after what the council called an “unprecedented” £100 million drop in central government funding over the next three years. Westminster predicts its funding gap will reach £160 million by 2029.
Under the government’s Fair Funding Review, five London boroughs — Westminster, Kensington & Chelsea, Wandsworth, Hammersmith & Fulham and the City of London — face steep cuts alongside pressure for large council tax rises. Ministers have argued the town halls have had “historically very low” council tax and should bring bills closer to national averages.
Westminster says that without action, council tax would need to rise by 200 per cent to fill the gap. The borough currently sets the second lowest council tax in the country, with Band D homes paying £1,047 a year including the City Hall precept.
Alongside the redundancies, the council expects to find a further £16 million through overhauling how it leases or rents out buildings and savings on contracts. More details on the wider savings plans are expected next month.
The announcement is the latest sign of the financial pressure facing London’s town halls, coming days after Barnet’s planning rows and Kingston’s estate regeneration decisions put council finances under the spotlight.
