Following the publication of the provisional local government settlement last week, councils are coming to terms with the cash cuts which they are facing in revenue and capital next year. With ever increasing demand for high quality services and inflationary pressures, councils will struggle to balance their books next year.
Local government therefore welcomes the decision by the Minister for Social Justice and Local Government not to top slice the settlement to fund a council tax freeze in Wales, recognising the different circumstances which face each council and the need for decisions to be taken locally.
Cllr John Davies (Pembrokeshire), WLGA Leader said:
“In terms of council tax, authorities are hugely conscious of the impact of the ongoing struggle that people in our communities have to make ends meet in their everyday finances. While there is no additional money for a freeze in Wales, councils will do their upmost to bear down on costs and seek efficiencies, showing the same responsibility which last year led to the lowest average council tax rises since local government reorganisation in 1996.”
“Comparisons will inevitably be made with the council tax freeze in England, but as the Minister recognised, in reality the freeze in England has only resulted in over 11% average cuts to English councils’ budgets – it’s a zero sum game. It is also important to remember that the average total band D council tax bill in Wales in 2009-10 was £1,086 compared to £1,414 in England so citizens in Wales are paying around £300 less a year for their services.”
Cllr Rodney Berman (Cardiff), WLGA Finance Spokesperson said:
“Councils will have to make difficult decisions in setting their 2011-12 budgets, trying to balance the pressures facing frontline services with the need to protect citizens in their communities from higher council tax increases at a time when the effects of the recession are still being felt. The average total Band D council tax is now nearly 25% lower than in England as a result of the intense focus of Welsh councils on providing value for money combined with efficiency.”
“Councils across Wales recognise the pressures on citizens and will be doing all they can to keep council tax low next year and I’d like to take this opportunity to urge anyone who is having difficulty paying their council tax to get in touch with their local council to make sure they are claiming all of the benefits to which they are entitled.”
For full details of the Welsh Assembly Government’s provisional local government settlement for 2011-12 visit:
http://wales.gov.uk/topics/localgovernment/finandfunding/settlement/lgsettlement101123/provsettlement1112/?lang=en
