Agenda item

The Council is facing having to make over £30m of savings for this year and next year.  Around £20m of further savings will be required in the following 2 years, 2013/14 and 2014/15.

The Coalition Government have announced a Council Tax freeze for 2012/13.  They aim to deliver this by offering Councils a grant equivalent to 2.5% of Council Tax, which is only payable if Council Tax is set at a zero increase.

Unlike the offer made by the Coalition Government last year, which allowed the Council to freeze Council Tax for this year in return for compensatory payments every year until 2015, a Conservative minister has now announced that the new grant will be a “one off” payment and will mean that the Council will need to make additional, permanent savings of £3.5m for 2013/14 onwards just to balance the books.

The Council recognises the pressure that families are under in the current economic situation and regrets that the Government have chosen to misrepresent this small, one-off, windfall payment to local authorities as a funded Council Tax freeze.

The Council has to balance its commitment to giving good value for money to residents with the need to ensure that priority services to vulnerable children and vulnerable adults (which are half of the Council’s controllable budget) are protected. 

The Council urges the Government to reconsider its proposals and would suggest that this funding should be provided to Councils by way of a non ring-fenced grant and that Councils determine locally how best to use these “windfall” resources.

Should the Government proceed with the Council Tax freeze, then the Council would urge Government to provide a grant equivalent to 2.5% of Council Tax and to ensure that this grant continues in future years.

Moved by:                  Cllr Sue Derbyshire

Seconded by:           Cllr Stuart Corris

MOVED AND SECONDED

The Council is facing having to make over £30m of savings for this year and next year.  Around £20m of further savings will be required in the following 2 years, 2013/14 and 2014/15.

The Coalition Government have announced a Council Tax freeze for 2012/13.  They aim to deliver this by offering Councils a grant equivalent to 2.5% of Council Tax, which is only payable if Council Tax is set at a zero increase.

Unlike the offer made by the Coalition Government last year, which allowed the Council to freeze Council Tax for this year in return for compensatory payments every year until 2015, a Conservative minister has now announced that the new grant will be a “one off” payment and will mean that the Council will need to make additional, permanent savings of £3.5m for 2013/14 onwards just to balance the books.

The Council recognises the pressure that families are under in the current economic situation and regrets that the Government have chosen to misrepresent this small, one-off, windfall payment to local authorities as a funded Council Tax freeze.

The Council has to balance its commitment to giving good value for money to residents with the need to ensure that priority services to vulnerable children and vulnerable adults (which are half of the Council’s controllable budget) are protected. 

The Council urges the Government to reconsider its proposals and would suggest that this funding should be provided to Councils by way of a non ring-fenced grant and that Councils determine locally how best to use these “windfall” resources.

Should the Government proceed with the Council Tax freeze, then the Council would urge Government to provide a grant equivalent to 2.5% of Council Tax and to ensure that this grant continues in future years.

AMENDMENT MOVED AND SECONDED

Delete everything after “The Council” and replace with:

“welcomes the Conservative and Liberal Democrat Coalition Government’s announcement that a Council Tax freeze grant will be available to local authorities in 2012/13 bringing much needed relief to hard pressed households, including those on fixed incomes.

Notes the recent headline “Liberal Democrats freeze Council Tax again” in Liberal Democrat campaigning literature in the Borough announcing that the ruling group on Stockport Council will be accepting the grant and freezing Council Tax for a second year in a row.

Expects that, following the precedent set so far this year, the Executive will make their Medium Term Financial Plan and budget adjustments to back the Council Tax freeze available to opposition parties and scrutiny committees at the earliest possible opportunity.”

For the amendment 10, against 29.

AMENDMENT NOT CARRIED

It was then

RESOLVED – (32 for, 10 against) The Council is facing having to make over £30m of savings for this year and next year.  Around £20m of further savings will be required in the following 2 years, 2013/14 and 2014/15.

The Coalition Government have announced a Council Tax freeze for 2012/13.  They aim to deliver this by offering Councils a grant equivalent to 2.5% of Council Tax, which is only payable if Council Tax is set at a zero increase.

Unlike the offer made by the Coalition Government last year, which allowed the Council to freeze Council Tax for this year in return for compensatory payments every year until 2015, a Conservative minister has now announced that the new grant will be a “one off” payment and will mean that the Council will need to make additional, permanent savings of £3.5m for 2013/14 onwards just to balance the books.

The Council recognises the pressure that families are under in the current economic situation and regrets that the Government have chosen to misrepresent this small, one-off, windfall payment to local authorities as a funded Council Tax freeze.

The Council has to balance its commitment to giving good value for money to residents with the need to ensure that priority services to vulnerable children and vulnerable adults (which are half of the Council’s controllable budget) are protected. 

The Council urges the Government to reconsider its proposals and would suggest that this funding should be provided to Councils by way of a non ring-fenced grant and that Councils determine locally how best to use these “windfall” resources.

Should the Government proceed with the Council Tax freeze, then the Council would urge Government to provide a grant equivalent to 2.5% of Council Tax and to ensure that this grant continues in future years.