Government slashes Olympics policing budget by £125m

The budget for policing the Olympics in 2012 has been unexpectedly slashed from £600m to £475m, the home secretary, Theresa May, disclosed today. The Home Office said that it had identified "significant financial savings" in the £600m safety and security budget for the Olympics drawn up in 2007. Ministers believe that further savings will be possible without creating additional risk. "At this stage, with almost two years before the games begin, we estimate that it should be possible to deliver the core cross-government safety and security programme for about £475m," the police minister, Nick Herbert, told MPs in a written ministerial statement today. He added that the government would make "up to £600m available, if required, for the Olympic safety and security programme" in line with the original commitment made in 2007, but it is clear that the Home Office will now bring severe pressure to bear to ensure that it is delivered for a much cheaper price tag. The detailed breakdown of police funding published today confirms that each of the 43 police forces in England and Wales are to see a 5.1% cut in funding next year and a 6.7% reduction in 2012-13. There are no detailed figures for the breakdowns for year three and year four of the spending review quoted today, but the first two years' figures confirm that the 20% cut in Whitehall funding for the police is to be "frontloaded" and will be heaviest in the year of the Olympics. It is difficult to compare how individual forces have fared at this stage but it is believed that the major urban forces such as West Midlands and Greater Manchester have lost out to shire county forces in the way the funding formula has been applied. There have been claims up to 18,000 police jobs will be lost as a result of this 20% cut in Whitehall funding for the police. The settlement includes two years' protection for the neighbourhood policing fund out of which chief constables finance 75% of the cost of police community support officers. The specific fund for counterterrorism policing is to be maintained at £567m next year and £564m the year after. This is a "flat cash" settlement that will have to absorb the effects of inflation. "These reductions will be challenging but the government is clear that forces can make the necessary savings while protecting the frontline and prioritising the visibility and availability of policing," said the police minister. "The government will play its part by reducing bureaucracy, driving more efficient procurement, and working with forces to ensure that the savings of over £1bn a year identified by Her Majesty's Inspectorate of Constabulary are delivered."