Council tax payers in Northumberland are set to see their bills increase in the coming months with a significant increase proposed in the county council's newly unveiled budget for the year ahead.
The coming budget, which will be debated by councillors throughout February, also contains cuts of £17 million, although leading councillors have said frontline services will not be affected.
Council tax will increase by 2.99% while the social care precept will increase by 2%. The maximum increase allowed without a referendum was increased by chancellor Jeremy Hunt in his autumn statement, and stands at 3% in council tax and 2% in the social care precept.
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It comes after Conservative council leader Glen Sanderson previously said he would "look very hard" at ways to avoid that level of increase in November. However, last month he admitted his administration would have to look at increasing costs by the maximum amount due to the financial pressures on the administration.
A band D property in the county would see its bills go up by £87.91 to £1,985.30 a year, representing a 4.63% increase. The council has said this will "help fund the best services for older and more vulnerable residents".
Furthermore, a discount equivalent to 1% of the Band D council tax increase is set to be recommended for some residents for the next year, to help with the ongoing cost of living crisis.
Northumberland County Council is also proposing to introduce new "hardship payments" for both council tax claimants and housing tenants for the coming year.
Defending the decision, Coun Sanderson said: "Throughout this budget setting process we’ve been acutely aware that many people are still facing financial issues due to cost of living and rising inflation.
“Like all local authorities we are operating in a period of global financial uncertainty. We know there is pressure on households and we have done everything we can to reflect on that and mitigate where we can – such as our council tax discount and our various hardship schemes.
“And caring for the young and vulnerable will remain a top priority for the council, with funds earmarked for a further raft of school improvements and delivery progressing on planned sites for affordable and extra care housing.
“We know these are difficult times for many, so as always we’ve strived to ensure a fair and balanced budget which will offer extra support for those who need it most.”
Coun Sanderson also felt he had 'kept his word' not to increase council tax - he added: "We are not charging everyone the maximum because of our new relief fund so I have kept my word despite extraordinary inflation pressure."
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Northumberland Labour leader Scott Dickinson urged the Conservative administration to rethink the plan.
He said: "I would urge the Conservatives to think carefully about the 15,000 most vulnerable residents they've already penalised this year in the middle of a real cost of living crisis. We know members of the cabinet don't believe families on the edge saying they skip meals to feed their families, and say 'they just don't see it' - but it's real and it is dire.
"We'll have one of the highest council taxes in the UK and residents will genuinely be asking how on earth they are now going to be asked to pay more. We know the Government has slashed local government finance, but the leader of the council said he was pleased with the settlement.
"If he is that pleased, why are ordinary, hard-working families being forced to pay more and get less?"
Coun Dickinson was referring to comments made by Coun Jeff Watson at Conservative party conference, while speaking to left-wing journalist Owen Jones. When told many charities had reported cases of parents skipping meals in order to feed their children, Coun Watson said he found it "hard to believe."
He also referenced a row between the Conservatives and Labour over the level of council tax support provided to the county's most vulnerable residents. Historically, this stood at 100%, but the Conservatives reduced it to 92% - a figure they maintain is one of the most generous schemes of its kind in the UK.
In the North East, only Durham County Council provides 100% of support. Pensioners in Northumberland will continue to be eligible up to a maximum of 100% of their council tax liability.
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Elsewhere, the budget also contains £17 million of savings. Among these is a £4.93 million saving identified from adult social care and commissioning services, with £3 million of that coming from a review of individual packages of care.
Also facing hefty cuts are the council's finance (£2.33 million), planning (£3.22 million) and directorate/corporate services (£4.398 million) departments. Coun Sanderson has insisted that these cuts will not be at the expense of frontline services.
He said: "These savings will be achieved by doing things differently - by transforming the way the council delivers its services and being more efficient, year on year.”
Plans for a review of the council's services has already drawn significant attention in recent weeks, with a £9 million budget over the next three years aimed at delivering efficiencies of at least £17 million "in perpetuity".
Council tenants will also face a 7% increase in the coming year. This works out as an average increase of £5.60 a week.
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It's not all doom and gloom, however; The budget proposals include an ambitious £223 million capital programme for 2023/24 including £92 million to improve and regenerate towns and communities across the county, over £19 million for housing, £31 million for schools and £35 million for road and path repairs and flood prevention schemes.
Coun Sanderson added: “A great deal of work has gone into this budget over the past few months – it's very much looking to the future but recognises that many are still facing challenges.
“We have faced up to unprecedented and significant inflationary pressure and have been determined to ensure that we provide real value for money for our residents despite that challenge.
“Protecting frontline services is always a priority and we’ve also ensured we’re expanding the offer for Northumberland with commitments around building, improving and maintaining leisure centres and the construction of new schools for future generations.
“Ensuring the county remains an attractive place to visit is crucial, so we’ve kept our free town centre parking commitments, public toilets open and first-hour free parking offer at our country parks, while investing in a range of beautiful environmental projects to celebrate the life of Queen Elizabeth II.”
The budget plans will be considered by an all-member scrutiny committee on February 13th, Cabinet on February 14th and the final proposals will then be put before full Council and discussed on February 22nd.
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