Council Vote To Increase Council Tax By 4.99pc In East Riding

Councillors have agreed to increase the council’s part of the council tax bill by 4.99 per cent for the 2017/18 financial year.

The increase was agreed at a special budget meeting and will see an increase of £62.90 a year for Band D properties.

The Government has allowed local authorities with social care responsibilities to increase council tax by up to five per cent for 2017/18 before triggering a referendum, three per cent of which must be spent on adult social care.

The annual cost of adult social care in the East Riding is estimated to increase by £21.3 million by 2020/21 and the Government has recognised that this demand cannot be met without additional funding.

In addition to the council tax increase, the council’s financial forecasts show that it needs to deliver £48.2 million of savings from its annual budget to meet Government funding reductions, inflation and service pressures by 2020/21.

Proposed savings identified over the next four years total £38.2 million – leaving a shortfall of £10 million.

Savings continue to be based on the council’s financial strategy of transforming the way in which the council delivers its services to reduce costs while maintaining performance and outcomes for customers, as well as maximising income and using reserves to support the budget while further savings are found.

Council tax banding

Valuation band	2016-17 cost	2017-18 cost	Increase (year)
Band A	£840.38	£882.31	£41.93
Band B	£980.44	£1,029.36	£48.92
Band C	£1,120.51	£1,176.42	£55.91
Band D	£1,260.57	£1,323.47	£62.90
Band E	£1,540.70	£1,617.58	£76.88
Band F	£1,820.82	£1,911.68	£90.86
Band G	£2,100.95	£2,205.78	£104.83
Band H	£2,521.14	£2,646.94	£125.80

 

Council tax bandings – with 25 per cent single person discount

Valuation band	2016-17 cost	2017-18 cost	Increase (year)
Band A	£630.29	£661.73	£31.44
Band B	£735.33	£772.02	£36.69
Band C	£840.38	£882.32	£41.94
Band D	£945.43	£992.60	£47.17
Band E	£1,155.53	£1,213.19	£57.66
Band F	£1,365.62	£1,433.76	£68.14
Band G	£1,575.71	£1,654.34	£78.63
Band H	£1,890.86	£1,985.21	£94.35

The budget was set following successful budget consultation events attended by members of the public and listening to the feedback given by residents via the online budget survey, which proved this year to be very popular.

Councillor Stephen Parnaby, OBE, leader of East Riding of Yorkshire Council, said: “Last year, after five years of council tax freezes, we reluctantly but unanimously, had to take the decision to increase council tax and we are having to do it again for 2017/18.

“I do understand this is not an easy decision for members but given the funding crisis that is hitting health and social care budgets across the country then we have to tackle our responsibilities and in doing so give assurances to residents in need of care that we will do everything to ensure their needs will be met.

“I am confident we can maintain and deliver services that residents expect and deserve, but only with the increase in council tax.

“To do anything less would be abdicating our responsibilities, not being honest and potentially storing problems up elsewhere for the future.

“With the 4.99 per cent raise in council tax, which includes the three per cent adult social care precept introduced by the Government in recognition of the funding shortfall, we will make sure we make every penny of taxpayers’ money count in the service we provide to residents.

“Every year since 2010, we have had to make huge savings in our annual budget and we have successfully achieved this through strong financial management and effective forward planning and will continue to do this while protecting, maintaining and improving, where possible, the high quality services we provide to residents, communities and businesses.

“The budget is open, honest and with no hidden agendas. It is based on sound financial management in the best interests of East Riding residents, businesses and visitors.

“Above all, despite many challenges, it is deliverable and protects services that people deserve.”