North Yorkshire County Council to buck trend and restrict council tax rise - despite £18m deficit

A local authority facing an £18m deficit every year has revealed it is looking to buck the national trend and restrict its council tax rise to below the maximum allowed to help residents hit by the pandemic.

North Yorkshire County Council’s executive has approved recommending asking average band D council tax-payers to pay £47.58 extra for its services.

This is would mean its element of the average council tax bill alone would rise to £1,411.05 in the coming financial year, where 20 years ago it stood at just £668.

Hide Ad
Hide Ad

The Conservative-run council’s opponents have highlighted the tax demand has risen at a rate far above inflation and claim residents are facing hundreds of pounds extra on their bills as a result of the authority failing to properly lobby successive governments.

North Yorkshire County Council is to raise council tax - but not by the maximum amount allowedNorth Yorkshire County Council is to raise council tax - but not by the maximum amount allowed
North Yorkshire County Council is to raise council tax - but not by the maximum amount allowed

The authority’s finance boss, Coun Gareth Dadd, told the meeting the 3.49 per cent increase in its demand struck a balance between residents ability to pay following the pandemic extra amounts in council tax and the need for the authority to provide critical services.

He said unlike many councils it would not take the maximum 4.99 per cent increase this year, but could make a further charge to cover social care next year “should things change dramatically”.

Coun Dadd said: “There will be very many people in the county over the next 12 months that will lose their jobs as a result of the pandemic and the downturn in the economy. By setting this budget we will be in a position to direct those resources and help those folk that really need it.”

Hide Ad
Hide Ad

However, he warned the council would either have to introduce further cutbacks or find ways of increasing its income in the next two years.

Coun Dadd also dismissed claims made by the leader of the council’s Independent group that the authority had failed to successfully lobby Government over recouping all its £93m pandemic-related costs, leading to North Yorkshire council tax-payers being left with an extra bill.

The council’s leader Coun Carl Les added the Government had “stood shoulder to shoulder” with the authority and said it would continue to pressure ministers over reforming funding for social care.

After the meeting, the leader of the authority’s Liberal Democrat group, Coun Geoff Webber, said he would be supporting the proposed increase.

Hide Ad
Hide Ad

He added: “I always feel they are a bit reticent about lobbying Government because it is their government. What worries me more than anything is the way we are raising money to pay for social services.

"It should be done nationally through progressive taxation and we are doing it locally through regressive taxation. It is almost in principle like going back to the old days of the workhouses. It’s totally wrong and successive governments have refused to deal with.”

Comment Guidelines

National World encourages reader discussion on our stories. User feedback, insights and back-and-forth exchanges add a rich layer of context to reporting. Please review our Community Guidelines before commenting.