The leaders of the two main political parties on Bradford Council have unveiled the full details of their budget proposals ahead of the authority’s spending plans for 2012/13 being agreed next month.

They are in agreement on two things – essential frontline services will be protected and council tax will remain frozen in the coming financial year.

The ruling Labour group believes cuts of £31 million will be needed to balance the authority’s books next year, leaving running costs of £422m.

Departments that would bear the financial brunt of the cuts include adult and community services and children and young people. In addition to a further 600 expected job losses, the contract terms and conditions for the authority’s remaining staff would be renegotiated to save £1.8m.

Savings of £4m, mainly in back office functions, would affect many services. But frontline services would be protected with £5m ploughed back into adult services, which is increasingly in demand from an ageing population.

In addition the proposals include no plans to close or sell community facilities, such as libraries, community halls or sports provision, but changes may be required in the way they are run.

Councillor Ian Greenwood, Council and Labour group leader, said: “This proposal is in the context of the very serious situation we find ourselves in. We had a serious reduction from the Government last year, this year and will have again in the future – so we are therefore preparing a budget in very constrained circumstances.”

Of the job losses, he said: “Clearly it will be difficult on top of the jobs we have already lost and it would be dishonest to suggest it won’t have any effect on services.”

Proposals from the Conservatives, the second largest group on the Council, include introducing free, short-term on-street parking to boost businesses and make savings for shoppers. In addition they would freeze charges in Council car parks and there would be no increase in rents for tenants of Council-owned shops and for market traders.

A business rates support fund would also be set up for Shipley, Bingley, Keighley and Ilkley, similar to the one planned for the city centre.

To pay for this, the group proposes setting up three funds – an Open for Business fund with £5m for next year; a £9m Better Services fund; and a £5m capital Community Dowry fund.

Tory leader Councillor Glen Miller said: “We have also removed what must be considered luxuries by comparison with the essential services that need to be maintained, such as free shuttle buses and car parking for Council staff, Council contributions to unions of over half a million pounds per year and we have looked at deeper reductions in senior management and back office than the Labour group may have proposed.

“This is possible because we believe that the Council is not properly exploring the potential for savings from sharing personnel, marketing accounts, legal and other functions with neighbouring councils and other public bodies.”

The Liberal Democrats did not present a budget proposal at the executive meeting held in City Hall yesterday.

Details of the budget proposals for 2012/13 will be published at bradford. gov.uk on Monday and will also be available in libraries and Council contact centres. Residents are being asked for their views on the proposals with the consultation ending on February 7.

Councillors will then be expected to take any comments into consideration when they make a final budget proposal and a decision on the authority’s spending plans will then be made at a meeting of full council on February 23.