Liverpool Council’s budget proposals are the “least worst” options available, according to the city’s finance chief.
The city council has confirmed its set of proposals to balance the books for the next financial year following receipt of a government settlement just before Christmas. As a result, the amount the city needs to save stands at £49m rather than the eye-watering £73m previously feared.
Council tax is to go up by almost 5% across Liverpool but key benefits services like One Stop Shops have been saved. The local authority’s cabinet met at Liverpool Town Hall this morning to confirm it would recommend its plan to be signed off by the full council when it convenes next week.
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Analysing the proposals, Cllr Liam Robinson, cabinet member for finance and leader of the Labour group, said setting the budget had been “far from enjoyable” and represented the “product of further austerity.” Cllr Robinson said he was “really angry about all this” and criticised the government’s late delivery of local government settlements, claiming it was a “deliberate measure to try and trip up the whole local government sector.”
The Kensington and Fairfield member said setting the council’s financial future had been “an exercise in producing the least worst budget possible” amid the “thick end of £50m in cuts.” Deputy Mayor Frazer Lake said there had been “severe challenges” but the cabinet had managed to “take potential cuts off the table.”
Cllr Lake said “despite difficulties” vital services had managed to be saved, like One Stop Shops and the benefits maximisation service. Cllr Harry Doyle said the cabinet had to take “tough decisions” to balance the budget gap but would continue to build the city brand and look to attract investment.
However, two cuts will still go ahead as part of the budget proposals. Savings of £1.1m will go ahead through a reduction of the Liverpool Citizens Support Scheme (LCSS). Rather than provide its own funding, the local authority will seek to utilise the government’s Household Support Fund to mitigate the loss for 2023/24.
The council will also seek to introduce a repair or replace scheme for domestic appliances. Currently, the city spends around £400,000 providing replacement appliances to residents who either do not have a particular appliance or where an appliance is broken.
Liverpool Council will also seek to use the government funding to cover the additional removal of the £1m top-up it provides to the Discretionary Housing Payment scheme. These payments provide financial support to low income households where their state benefits do not meet the full cost of their rent.
Cllr Robinson said this was a case of “more financial changes than substantial changes residents would see.” Earlier this morning, it was confirmed three of the city’s opposition groups would come together next week to oppose the budget in a joint motion.
Cllrs Tom Crone, Steve Radford and Alan Gibbons will stand together as they said they reject any proposals which cut services to the most vulnerable in the city. They will propose that the Citizen Support Scheme and domestic appliances reductions are removed from the budget plan.
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