This means, for example, that the payment for a Band D property household remains £178.72. The precept will remain at 2010/11 levels.

Chairman Sheila Blagg said: “The West Mercia Police Authority has agreed the 2012/13 budget today. This will be the last budget that the Police Authority approves as the introduction of the Police and Crime Commissioners takes effect in November this year.

“The budget is a sensible one. It combines taking advantage of the special Government grant to avoid increasing the council tax to hard pressed citizens together with the cash reducing efficient measures that have long been associated with West Mercia’s excellent track record of value for money.

“The Police Authority, however, will be consulting with the Government and making them aware of the adverse financial consequences of paying the council tax freeze grant for only one year.

“The Authority has consistently ensured that there are sufficient reserves to help alleviate the current financial difficulties. The reserves are strong and have been built up by prudent financial management. This track record has been recognised by the Her Majesty’s Inspectorate of Constabulary/Audit Commission inspection of Police Authorities which designated West Mercia as only one of 43 Police Authorities as ‘excellent’ in setting strategic direction and delivering value for money.

“The Police Authority is, therefore, confident that the financial position being handed over is a healthy one as the coming Police and Crime Commissioner takes up post and considers the future policing priorities against a backcloth of future grant reductions”.

The Police Authority met at West Mercia force HQ Hindlip Park, Worcester.

Chief Constable David Shaw added: “The steps we have taken to address the funding gap over the medium term are helping us to maintain the strength of operational officer numbers as much as possible, while minimising any impact on the services we provide. The implementation of the ‘Making The Difference’ review has realised savings of £8 million, with further savings of £1.8 million to be achieved in 2013/14.

“The Strategic Alliance which we have agreed to enter with Warwickshire Police provides an opportunity for the two forces to work more closely and share resources in different service areas. However each force can retain its own sovereignty, finances, estates and identity. The alliance has been formed to increase efficiency and maximise police services in a time of substantial funding cuts.”