Nottingham council tax payers will see bills rise by nearly four per cent next year as the authority faces another round of cuts.
Members are proposing a basic rise of 1.95 per cent on city rates, saying ongoing cuts from central Government will leave them struggling to fund services.
And they are also taking up the option of a new two per cent ‘social care levy’ to pay for care – meaning in total bills will rise by 3.95 per cent.
It means the majority of households in Nottingham would pay an estimated extra £38.43 a year.
Other changes include dimming street lights, putting up day care fees and cutting 55 jobs.
Government austerity measures have seen the revenue grant which funds the council more than halve since 2013-2014, with a loss of £70m.
Graham Chapman, the council’s deputy leader, said: “Every year since 2010 we have faced huge cuts in Government funding which pays for local services – forcing us to make difficult decisions about if and how services can continue to be provided.”
Balancing the budget: City council changes to come next year
- Day care fees and charges rising from £12 to £15 a day
- Making annual savings of £123,000 in street lighting, including extending dimming onto residential streets
- Introducing a £3 fee for non-city residents using bus park and ride sites
- Saving £178,000 through a review of fees and charges in sport and culture
- Increasing income from commercialising some services such as commercial waste and skip hire to raise £250,000 a year
The expected cuts mean the Labour-led city council has to find a further £20.5m of savings from its 2016 -2017 budget.
If approved, the city council tax rise will be the biggest in a decade after an increase of 4.4 per cent in 2006 to 2007.
The Government’s grant to the city will have more than halved
Mr Chapman added: “By next year the Government’s grant to the city council will have more than halved since 2013, which is harsher than for many more affluent places whose citizens don’t rely so heavily on council services.”
The social care levy was introduced by Chancellor George Osborne as part of the Conservative Government’s autumn statement last month.
Mr Osborne also says measures including allowing councils to keep more of the cash they get from selling their own property will help them balance the books.
He told parliament last month: “If you take into account both the fall in grant and the rise in council incomes, it means that by the end of this Parliament local government will be spending the same in cash terms as it does today.”
The proposals will be considered by the council’s executive board on Tuesday December 22.
A public consultations on the plans will then run online and at meetings in January.
The budget will then go before a full council meeting for a final decision on March 7 2016.
- For more on this story, watch Notts TV News at 5.30pm, 6pm, 7pm and 10pm on Tuesday, December 15.
