E-government deadlines could have a costly bite. Pressure builds on councils as IEG deadline looms, writes .(Implementing Electronic Government)

Local authorities could face a financial crisis if they fail to deliver services online by December's deadline to meet the Government's IEG strategy.

If authorities fail to comply in December, central government could demand that funding is returned. Tony Sumpster, MD EMEA of records management specialist Tower Software, said local authorities are already constrained by finance and resources, and doubts that many authorities will be able to comply in time. "It will be another two or three years before e-government systems are fully in place," he said.

John Prescott's Office of the Deputy Prime Minister (ODPM) department unveiled a national strategy and timetable for e-government in November 2002, describing it as "at the heart of modernising government".

Since then, central government has provided local authorities with up to [pounds sterling]500,000 in funding to achieve e-government targets, but the funding was not ring fenced and information professionals have told IWR that many authorities did not commit the funds to e-government projects.

"There has been a carrot and stick approach to this," said Ken Usman-Smith, technical support manager for Rochdale Borough Council. "The money was the carrot, now the government is introducing the stick."

The ODPM set out priorities under the Implementing Electronic Government (IEG) strategy. These included raising school standards, improving the quality of life, healthier and safer communities, local transport needs and improving the ...