‘Cash crisis’ could stir up yet another rise in council tax
Bill shock and cuts to ‘protected’ services loom
Council taxpayers are likely to face another hike in their bills with a 4% increase on the cards under proposals put forward by Kent County Council.
The authority says it is facing a cash crisis and has warned there may have to be cuts in frontline services as it struggles to balance the books.
Leader Paul Carter said cuts were an “inevitable consequence” if the government failed to bail it out – to the tune of an additional £20m this year and the next to help cushion the impact, on top of £64m in budget savings.
Mr Carter said if his appeal to the government to provide more money failed, the council would have to cut back on services it has previously protected.
“If we don’t receive a modest form of help, we will have to stop delivering or reducing the quality of services. We have already delivered enormous savings, but the elastic is at breaking point.
“Unless we can get an additional £20m before the government introduces a new funding method, we are going to have to reduce services.”
Cllr Carter praised the authority’s work so far this decade to preserve its frontline functions. He said: “This is against significant additional pressures on demand-led services provided by the council as a result of significant population growth and the need to support a growing proportion of elderly people.”
Labour suggested cuts would inevitably hit the most vulnerable. Cllr Karen Constantine said: “In poorer areas, such as Thanet, and rural areas, people are already complaining about the lack of public transport. In some areas there is already a threadbare bus service. Any further cuts will just leave people stranded.”
The council is beginning a sixweek consultation on its draft budget, which aims to find a further £64m savings – part of which would be met by the inflationbreaking tax hike.
A 4% increase would push average band D bill up to about £1,091 from £1,047 last year.
Each 1% increase generates about £6m for the authority.
A spokesman for the Department for Communities and Local Government said more than £200 billion had been given to councils via the four-year funding settlement.
He added: “Kent County Council’s core spending power is increasing by 4.7% over this five year spending period. As a result they will have available £4.5 billion in funding up to 2020.”
Take part in the consultation via www.kent.gov.uk/budget