EAST Hampshire District Council said this week that its finances were in great shape as it broadly outlined its spending on Whitehill and Bordon’s new leisure centre.

The district council is the UK’s only council to cut council tax and said its investment ability “proves its strategy is working”.

As well as being able to balance the books for the year, the district council said it was investing £29.5m in new leisure centres across the district.

This includes new facilities in Bordon and Alton, as well refurbishing the Taro Centre in Petersfield.

The council said it was “on a mission to achieve financial independence from central Government” and aimed to minimise what it charges its residents for council tax.

The council, which said it was taking “a pioneering approach to dwindling grants”, has invested £1.7m to earn income from commercial property already this year and continues to look for suitable investment opportunities.

In addition, the council said it had launched a range of profitable businesses selling services to other local authorities, including its litter-enforcement officer scheme. In 2017-2018 these new income streams will enable the council to come close to achieving “full independence without cuts to frontline service”, it said.

This means East Hampshire District Council is on track for independence from central Government grants when they are expected to stop in 2019-2020.

As interest rates remain low, those pulling the strings at the district council have looked into other methods to keep services running smoothly - not least the millions it is investing in leisure facilities.

And the council said it was not shying away from its community commitments, having also set aside more than £100,000 to continue its popular scheme of grants which local organisations can apply for.

Ferris Cowper, deputy leader of East Hampshire District Council, pioneered the council’s strategy.

“Our financial planning and detailed strategy has enabled us to cut council tax, invest £29.5m over three years in new leisure centres and still balance the books,” he said.

“We have looked at how councils are traditionally funded and taken a completely different approach to suit today’s challenges.

“I am extremely proud that we are the only council in the country to cut council tax and I am enormously grateful for all the hard work and dedication my colleagues have shown to enable us to do this.

“I can’t wait to find more innovative ways to ensure that we can achieve financial independence from central Government and I hope that councils across the country follow our lead.”

A district council spokesman explained how the funding will be handled.

“The initial capital investment will come from East Hampshire District Council and, through income generated by successful, financially viable centres, Everyone Active will repay that investment with interest over the lifetime of the contract,” he said.

“Surplus will be re-invested in council services and used to help keep council tax low.”

In April the council announced it had selected Leicestershire-based Sport and Leisure Management Ltd as the preferred bidder to manage its leisure facilities.

The council and Sport and Leisure Management, which operates as Everyone Active, will work in tandem to oversee the development of the new centres.

The company, which formed in 1987, is the UK’s longest-established leisure operator. It works in partnership with 44 local authorities to deliver “high-quality sports and leisure facilities” and “improve the health and wellbeing of communities”.

A new leisure centre has long been promised as part of Whitehill and Bordon’s regeneration and will be provided within the new town centre to be built at Prince Philip Barracks.