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Police authority budgets capped | |
(about 4 hours later) | |
Seven police authorities and one city council in England will have their budgets capped for forcing council tax rises beyond the government's limit. | |
The authorities are Bedfordshire, Cheshire, Leicestershire, Lincolnshire, Norfolk, Surrey and Warwickshire. | |
Local Government Minister John Healey said it was "necessary" to take action. | |
Lincolnshire police authority made the highest demand. It has increased its stake of the council tax by 80%, adding an extra £2 a week to the average bill. | |
Inflation-busting rises | |
Another city authority, Portsmouth City Council, also faces having its budget capped. | |
Council tax gathered from local residents is shared between a number of bodies, including the council, police and fire services. | |
If any of these stakeholders demand an excessive share of the pot, then the council passes on a rise in council tax to residents. | |
We will act to protect council tax payers from excessive increases John Healey, local government minister | |
But the government does not permit inflation-busting council tax increases, and can force a cap on the demands. | |
Mr Healey told the Commons: "While I am disappointed that it has been necessary to take action this year, I make no apologies for it. | |
"Keeping council tax under control is and will remain a top priority for government and we will act to protect council tax payers from excessive increases." | |
The BBC's local government correspondent John Andrew said: "All of them have rises well above 5%, which is deemed to be the limit." | |
Extra officers | Extra officers |
When Lincolnshire announced its rise - which amounts to an extra £60 million in their budget - the chief constable praised the police authority for being brave and ending years of under funding. | When Lincolnshire announced its rise - which amounts to an extra £60 million in their budget - the chief constable praised the police authority for being brave and ending years of under funding. |
The authority said it would mean scores of extra police and community support officers. | The authority said it would mean scores of extra police and community support officers. |
Ministers say the rises are excessive but the Local Government Association said capping made no sense. | |
The Local Government Association said capping would mean up to 40 councils would have to send out lower bills at huge cost. | The Local Government Association said capping would mean up to 40 councils would have to send out lower bills at huge cost. |
The authorities affected will have three weeks to lobby ministers before a final decision is taken. | The authorities affected will have three weeks to lobby ministers before a final decision is taken. |
The Department for Communities and Local Government said council tax in England is set to rise by an average of 4% in the coming year. | |
But the current rate of inflation is 2.5%, according to the consumer prices index. |