A DEBT-RIDDEN local authority has been given the go-ahead to double council tax this year without holding a local vote.
Slough Borough Council (SBC) plans to increase the levy by nearly 10 per cent from this April to help balance its books in a climate of high inflation.
SBC sent a letter in January to the Department for Levelling Up, Housing, and Communities to see if ministers will agree – in principle – that it can raise council tax by more than 4.99 per cent without holding a referendum.
Chancellor of Exchequers Jeremy Hunt announced in his Autumn Statement that all local authorities could raise council tax by 4.99 per cent without going to a referendum. Previously, it could only be raised by 2.99 per cent, and raising it above this cap would require a local vote.
This 4.99 per cent is split into 2.99 per cent council tax and two per cent for social care.
READ MORE: Slough Council requests permission to raise council tax past cap
The council effectively declared bankruptcy last year after it discovered it was £760m in borrowing debt. It has to sell up to £600m of its assets and make £20m savings every year for the next seven years.
READ MORE: Thames Valley Police could run Slough Council's CCTV
Cllr Rob Anderson (Lab: Britwell & Northborough), lead member for financial oversight, said: “Given the need to get the council back on a sound financial footing and with inflation over 10 per cent, this increase was unavoidable if we wanted to protect our services.
“We are not alone in this and a number of other authorities have done the same.
“As a result of this increase we will now bring forward a more generous Council Tax Support scheme to help protect those most in need.”
The Local Democracy Reporting Service requested an update on the council’s letter at the beginning of January and received confirmation this week that it had sent its request earlier last month.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereLast Updated:
Report this comment Cancel