Council tax bills set to rise 4.99 per cent
Slough: Council plans to increase tax ‘by maximum amount allowed’
Residents could see their overall council tax bills rise by almost five per cent in April as Slough Borough Council grapples with the ‘significant’ impact of COVID-19.
The local authority is planning to increase Band D council tax by 1.99 per cent in the
2021/22 financial year, the maximum allowed without holding a referendum.
A further 3 per cent increase is expected in the adult social care precept which will cover social care services for adults in the borough.
Neil Wilcox, director of finances and resources at the council, outlined the local authority’s challenging financial position during a cabinet meeting on Monday.
He said: “COVID-19 has had a significant and detrimental impact on Slough’s finances both in year and in the medium term.
“We’ve had a significant reduction in local tax and revenues of up to about £5million.
“Some people have stopped paying their council tax and we have had to start doing more enforcement activities.
“There is also redundancies going on so more people are claiming benefits and when they get benefits they get council tax support and that means less council tax income for the council.”
Slough Borough Council is facing a budget gap, the difference between the council’s expected income and overall expenditure, of £8.61 million in 2021-22.
The meeting heard this has partly been caused by a one-off £5.4million repayment of business rates to a company in the town.
The closure of leisure centres in the borough during the nationwide COVID-19 lockdowns has also reduced the amount of money being paid to the council by its leisure provider.
Council leader James Swindlehurst (Lab, Cippenham Green) said: “We at least are in a good position for the year that ends in March and our woes at the moment are about trying to close down a significant gap between our projected income now and our expenditure because of loss of income and other pressures on our frontline services in terms of spending.”
He added: “We’d already planned a 1.99 per cent council tax increase but obviously what we’re now saying is like all authorities, we’re almost certainly going to draw down the 3 per cent of adult social care precept.
“Effectively the Government said that’s what we’re giving you as a power to bring in new income, rather than funding that with Government funding.”
Councillors will vote on plans which could save more than £12millon between 2021-22 to 2023-24 at a full council meeting in February.