Devon County Council could raise council tax

Devon county council may raise its council tax for the first time in four years in an effort to protect its services against further cuts.

Despite a budget cut of £100 million in the last four years the Council has to find another £110 million by 2017 with several non-statutory services already under review.

The council’s cabinet met on Wednesday and agreed to 1.99% increase to the current council tax levels forgoing a government grant for freezing the tax for another year.

Council leader John Hart explained the decision “If I accept a council tax freeze grant from the Government this year it will bring in around £3 million and that will only be guaranteed for two years. This increase will bring in £6 million a year and it will be guaranteed in our base budget in perpetuity.

“Over the next four budgets that amounts to £24 million and we can do an awful lot with that money to maintain essential services for the people of Devon and improve their lives.”

The tax rise is expected to cost Devon residents an average of £22 each year but comes after a consultation with 15,000 Devon residents found 67% would pay an increase to protect vulnerable services.

The residents consulted as part of John Hart’s ‘Tough Choices’ campaign said that the council’s priority should be the protection of services for vulnerable children.

The council’s child and adult protection services are currently expected to need an extra £2.2 million in the council’s budget for next year.

However many services will not recieve more funding as the government's ongoing austerity drive takes more money out of the local area.

Several services are now under review including; a large potential reduction of the coucil’s youth service buy closing youth centres, closure of the council’s residential children’s homes and the closing 26 of the council’s 35 elderly daycare centres.

Council leader John Hart said: “The economic recovery is gathering pace week by week, but I am very well aware that household budgets are still under strain.

“We have to balance what working families who haven’t had a pay rise and elderly folk on fixed incomes can afford against the need to keep providing the services on which they rely.

“That’s why we’ve frozen the council tax for the past three budgets and put our own house in order, streamlining our administration and reducing staff costs from over a third of the budget to under a quarter.

“If I accept a council tax freeze grant from the Government this year it will bring in around £3 million and that will only be guaranteed for two years. This increase will bring in £6 million a year and it will be guaranteed in our base budget in perpetuity.

“Over the next four budgets that amounts to £24 million and we can do an awful lot with that money to maintain essential services for the people of Devon and improve their lives.”

Mr Hart said: “We are faced with some very tough choices but I believe this budget protects the young, the elderly and the most vulnerable and demonstrates that we have listened to what the residents of Devon have told us.”

Deputy leader and cabinet member for finance, John Clatworthy, said: “It is a great responsibility to set taxes. We considered taking the freeze grant, but there is a real need to future-proof our budget.”.