WITH public sector spending cuts biting throughout the country, one Dorset local authority has managed to end the financial year with a £2.5million surplus.

The result means Borough of Poole has stayed within budget for 10 years – despite reductions in funding and continuing pressures on key services.

In February the council forecast that the underspend would amount to £911,000 by March 31, the end of the financial year.

But early implementation of an efficiency programme in adult social care saved £1.37million and “significant” sums were received following negotiations with the NHS, which agreed to share the costs of key services and care and support for individuals.

The final accounts are due to go before full council on June 18.

It is proposed that the underspend should be trans-ferred to the reserves and be used to offset the effects of future cuts.