Big council tax hike to plug £8.7m budget hole
Average Band D property owners to pay extra £60 a year
STOCKPORT residents’ council tax bills are set to rise by 3.5 per cent as town hall chiefs look to close an £8.7m budget gap.
The proposal was expected to be signed off by cabinet members this week before going to full council for final approval later in the month.
It means that owners of an average ‘Band D’ property will pay just shy of an extra £60 per year for services provided by the local authority – bringing their annual bill to £2,049.15. Council leader Elise Wilson said: “The Covid-19 pandemic has had a detrimental impact on our community, the like we haven’t experienced for generations.
“This budget takes the first steps towards our recovery from Covid, offering support to our communities, investing in our economic regeneration and enhancing our natural environment.”
STOCKPORT residents’ council tax bills are set to rise by 3.5pc as town hall chiefs look to close an £8.7m budget gap.
The proposal is expected to be signed off by cabinet members next week before going to full council for final approval later in the month.
It means that owners of an average ‘Band D’ property will pay just shy of an extra £60 per year for services provided by the local authority – bringing their annual bill to £2,049.15.
The hike is made up of the maximum 2pc uplift in the ‘general’ element of council tax and a further 1.5pc rise in the ring-fenced adult social care precept.
That could increase further still if Greater Manchester mayor Andy Burnham’s plan to put up the policing precept by £10 (a rise of 4.8pc) is given the nod following consultation.
A report by council leader Elise Wilson and her deputy Coun Tom McGee setting out their ‘robust and resilient’ budget proposals for the next financial year was due to go to cabinet on Tuesday.
The leaders say they have ‘carefully considered’ the role local taxation should play in addressing the ‘financial challenge facing the council.’
The report adds: “We know that many across our communities are experiencing significant challenges in light of the unprecedented circumstances created by the pandemic. It is not a decision that we have taken lightly but have had to balance this with the need to protect service provision for those that need the council’s support the most as we continue to recover and respond to the impact of the pandemic, and the need for essential services increases.”
The government has allowed local authorities to raise the adult social care precept by up to 3pc in 2021/22, with the option to defer all or some of the increase to the following year.
Stockport chiefs are proposing to split this in half, with a 1.5pc hike coming into force from April and the remainder withheld until next year.
The report says the decision has been taken in order to ‘help smooth the impact’ on Stockport residents.
While it will mean the town hall forgoing £2.4m of income, this is to be compensated for by the use of reserves.
The council leadership says it ‘remains unhappy’ with the government’s continuing approach of funding local services through rises in council tax, thereby ‘placing an ever increasing burden’ on taxpayers.
The report adds: “The council’s council tax taxbase is not sufficient to sustainably address the increasing cost pressures the council faces particularly those statutory and heavily inspected services, such as Adults Social Care and Children’s Social Care, where the council has minimal discretion to reduce costs and impact on services supporting our most vulnerable residents.”
However, the Labour administration is also proposing to plough millions into its ‘Covid recovery’ programme. The revenue budget includes a £2m ‘economic recovery fund’ to support local businesses, using available discretionary business support monies. And a further £2m in ‘one-off’ monies and reserves will be invested with the aim of having a ‘catalytic impact’ These include:
• £500,000 towards tackling climate change, including funding for electric vehicle charging points, increasing the number of community orchards and further tree planting
• £500,000 to support digital inclusion and help overcome digital poverty
• £300,000 for the rollout of Open + technology in more libraries
• £150,000 to increase youth work capacity to target anti-social behaviour
• £100,000 to increase the mental health support offered during the pandemic
• £100,000 to help tackle drug and alcohol addiction and further reduce health inequalities
• £300,000 to commemorate Covid and Hopes Carr disaster with a new memorial or open space
• £50,000 to develop a cultural support plan.
Councillors will also be asked to sign off on a £160m capital programme – some of which has been rescheduled from the previous financial year.
This features a continued focus on regeneration – particularly within the ‘Town Centre West’ area, as well as new monies for tackling climate change.
Projects set to benefit include Stockport Interchange, Stockport Exchange Phase 4 and Weir Mill, as well as investment in Redrock, Merseyway and Underbanks.
There will be a further investment of £10m in affordable homes as well as £4.9m for play areas and formal sports provision.
Walking and cycling schemes are set to benefit to the tune of £8.8m, while £1m has also been set aside for a residents’ solar power scheme.
Council leader Elise Wilson has commended the proposals. She said: “The Covid-19 pandemic has had a detrimental impact on our community, the like we haven’t experienced for generations. This budget takes the first steps towards our recovery from covid, offering support to our communities, investing in our economic regeneration and enhancing our natural environment.”
The budget proposals wer due to be presented at a cabinet meeting on Tuesday before going to full council for approval on February 25.