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Conservative-led Surrey County Council plans 15% council tax hike | Conservative-led Surrey County Council plans 15% council tax hike |
(35 minutes later) | |
A Conservative-run council wants to raise its tax by 15% in the next financial year, blaming government cuts and increased demand for social care. | A Conservative-run council wants to raise its tax by 15% in the next financial year, blaming government cuts and increased demand for social care. |
Surrey County Council leader David Hodge said the government had cut its annual grant by £170m since 2010. | Surrey County Council leader David Hodge said the government had cut its annual grant by £170m since 2010. |
The proposed increase would add nearly £200 to a Band D bill, bringing it to about £1,500. | |
The government said if the proposed budget is set, taxpayers would have the final say at the following referendum. | |
Any authority wanting to increase council tax by more than 2% must put the plans to a vote. This would take place on 4 May, alongside local elections, and would include a vote in Chancellor Philip Hammond's constituency of Runnymede and Weybridge. | |
'Unaffordable for many' | |
Opposition councillors in Surrey said the increase would be unaffordable for many residents and it followed financial failings by the council and the government's failure to fund services properly. | Opposition councillors in Surrey said the increase would be unaffordable for many residents and it followed financial failings by the council and the government's failure to fund services properly. |
Mr Hodge said the council had to set a budget for 2017-18 that would protect vital services. | Mr Hodge said the council had to set a budget for 2017-18 that would protect vital services. |
He said: "Government has cut our annual grant by £170m since 2010 - leaving a huge gap in our budget. | He said: "Government has cut our annual grant by £170m since 2010 - leaving a huge gap in our budget. |
"Demand for adult social care, learning disabilities and children's services is increasing every year. | "Demand for adult social care, learning disabilities and children's services is increasing every year. |
"So I regret, despite us finding £450m worth of savings from our annual budget, we have no choice but to propose this increase in council tax." | "So I regret, despite us finding £450m worth of savings from our annual budget, we have no choice but to propose this increase in council tax." |
Council tax context | Council tax context |
We can't say what the average rises are set to be this year, as not all local authorities have declared their intentions. | We can't say what the average rises are set to be this year, as not all local authorities have declared their intentions. |
However, last year, the average Band D council tax set by local authorities in England for 2016-17 was £1,530, which was an increase of £46 or 3.1% on the 2015-16 figure of £1,484. (1.6% of that was the adult social care precept) | However, last year, the average Band D council tax set by local authorities in England for 2016-17 was £1,530, which was an increase of £46 or 3.1% on the 2015-16 figure of £1,484. (1.6% of that was the adult social care precept) |
So Surrey's rise is five times last year's average. | So Surrey's rise is five times last year's average. |
This shows how council tax hikes were brought down post 2008 but are now on the rise again. | This shows how council tax hikes were brought down post 2008 but are now on the rise again. |
Liberal Democrat leader Hazel Watson said a 15% rise would hit the elderly and those on fixed incomes hardest. | |
She said: "It is astonishing that the Conservative administration think Surrey residents should carry the can for their own financial failings and the government's failure to properly fund services." | She said: "It is astonishing that the Conservative administration think Surrey residents should carry the can for their own financial failings and the government's failure to properly fund services." |
She called for a national solution to the funding of adult social care but said the Conservative council had failed in its negotiations with central government, even though three cabinet ministers were Surrey MPs. | She called for a national solution to the funding of adult social care but said the Conservative council had failed in its negotiations with central government, even though three cabinet ministers were Surrey MPs. |
Transport Secretary Chris Grayling and Health Secretary Jeremy Hunt are MPs in the county along with Philip Hammond. | |
A Department for Communities and Local Government spokesman said: "If the council sets this proposed budget, then the taxpayers of Surrey will have the final say in a referendum in May. We should trust the people. | |
"Our long-term funding settlement means more spending power for Surrey County Council during this parliament, with £3.2 billion to deliver the services that local people want." |