Newham Council employed over 500 people in the last two years despite heavy budget cuts, according to new figures.

The council have had their central Government grant cut by �75m since the last general election in 2010 but staff numbers have increased by 557.

New data from the Office of National Statistics and public sector union GMB shows that the number of people employed by Newham Council has risen from 12,425 to 12,982.

Only six out of 32 London boroughs have employed more staff since the first quarter of 2010 and the second quarter of 2011 with most incurring job losses from freezing vacancies, redundancies, natural wastage, and movements between the public and private sectors such as schools becoming academies.

A spokesperson for Newham Council said: “The Government cut our funding by a huge amount, but we have defended the services that matter most to residents and kept job losses to a minimum by being more efficient in the way we deliver what people tell us they want.

“In real terms the council has lost around 300 jobs since 2010. The GMB figures show an increase because they include staff transferred back to the council from the arms-length management organisation Newham Homes, recruitment of temporary staff to deal with the 2012 Games and a small increase in staff in schools that aren’t covered by the cuts regime.”

Islington Council employed the most staff in London over the past two years - 1,178 - while Barnet incurred the most job losses as their workforce decreased by 8,779.