Connexions partnerships may be dissolved and staff contracted to work for local authorities as a way of saving £25m. Anne Weinstock, head of the Government's Supporting Children and Young People Group, told partnerships in February to make the savings by reducing VAT bills rather than frontline services (YPN, 25 February-2 March, p2). Chief executives are considering restructuring their operations to qualify for tax breaks to comply with the demands. Partnerships that subcontract services are under most pressure because of VAT costs charged by third-party providers. Connexions Black Country, which needs to prune its tax budget by £1.2m, is studying the...