Knowsley Council’s budget has been hailed a “minor miracle” as the borough’s cabinet agreed plans for a no cuts budget and series of “one off investments”.
Addressing a meeting of the borough ’s cabinet tonight (February 23), Knowsley Council leader Cllr Graham Morgan presented a new three year plan, saying there was now “light at the end of the tunnel” after years of cutbacks and austerity.
At the meeting, budget papers for the coming year were also presented for discussion.
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The papers reveal estimates of a budget surplus of more than £2.7m over the next two years with no further cuts to council services planned.
As one of the most deprived borough’s in the country, having also borne the brunt of government cuts over the past decade leading to a 57% decrease in council funding and 1,500 job losses, cabinet member for finance and resources, Cllr Jayne Aston hailed the council’s finances as in an “incredibly positive position”.
Cllr Aston added that the council’s “ambitious growth agenda and strong financial management has served us well” with housebuilding soaring across the borough.
She said that housebuilding had grown by 21% in Knowsley, a significant increase compared to the 13% average across the city region, which has pumped extra cash into the council’s coffers from council tax revenue.
The council anticipates a budget surplus for next year of over £1.5m with a £1.2m surplus expected in 2023/4.
Cllr Aston said: “That we can protect council services and jobs, permanently invest in key services and still have one off resources to put forward our plans for the borough, our financial position is a minor miracle to say the least.”
She added that despite huge pressures on council finances brought about by austerity, cutbacks and the pandemic, the council’s position means it will now be able to make further investments in the borough’s economy, on top of its ongoing investment in town centres across Knowsley.
Details of the planned investments are yet to be revealed, although Cllr Aston indicated these would be presented at a full council budget meeting next month.
Also confirmed were plans to raise council tax for the borough’ residents by the full 2.99%,while fees and charges for some services, including weddings and pest control are also set to be increased.
Members of the cabinet approved the recommendations, with a full report – including plans for spending the council’s budget surplus – to go before a meeting of Knowsley’s full council on March 9.
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