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ANDOVER Shopmobility has been told to reduce its reliance on the borough council after councillors heard it was being subsidised on average to the tune of nearly £8 per trip.

Test Valley Borough Council's executive heard that the number of clients Shopmobility served had increased and the number of trips this year was set to be 4,500.

A report said: "This is a slight decrease on the previous year but continues to compare well to other Shopmobility organisations that have experienced a downturn in clients."

Members heard that following the loss of Hampshire County Council funding and an increase in salary costs, the group had sought alternative funding.

The organisation has had some success with funds totalling over £6,000, resulting in only a small predicted deficit.

It requested a grant of £41,510 for 2008/9, representing a 26 per cent increase. The committee was told that a 30 per cent increase was awarded in 2006/7 and it got a five per cent increase last year.

"However, the financial situations remains difficult, with a predicted deficit in 2008/9 that would leave reserves very low," the report continued.

The executive agreed a three per cent increase of £33,800, a three per cent increase which Cllr Martin Hatley pointed out represented an average of nearly £8 per trip.

"That seems to be rather a lot," he said. "I just make that observation."

Along with other groups this year the executive agreed that the funding was also agreed, in principle, for the next two years.

And Shopmobility is to be told that the award was made in expectation that the organisation will use the three-year funding to reduce its reliance on the council, with a view to a reduction in 2011/12.

3:48pm Wednesday 19th March 2008

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