TWO rural local authorities are to merge a number of services in a bid to save council taxpayers £30m.

Both in Lincolnshire, East Lindsey District Council and South Holland District Council will bring services together by creating a new company.

Customer Services, Revenues and Benefits, ICT, Human Resources and Finance functions will be transferred to the company on 1 August.

Both councils will own the private limited company.

They hope to make service delivery more efficient through new ICT investment and more streamlined processes.

If it works, the council-owned company will save ratepayers in both districts £30.6m pounds over the next 10 years.

East Lindsey would save £19.3m and South Holland would save £11.3m.

Agreement was given at East Lindsey and South Holland council meetings on Wednesday (28 July).

The ground-breaking move will ensure quality services are delivered to the public at a reduced cost, said a statement issued by both councils.

This was a necessity in today's cash-strapped public spending climate.

South Holland District Council leader Gary Porter described the deal as great news for residents.

“It means we can provide services more efficiently, saving people money and keeping services performing well."

That view was echoed by East Lindsey District Council Doreen Stephenson.

"This is a move that will deliver the savings to residents and keep service standards high over the next 10 years."

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