Hartlepool council tax warning as finance chief warns at least 3% rise in bills needed to keep finances 'robust'

By Nic Marko
Published 19th Jan 2021, 14:48 BST
Updated 19th Jan 2021, 15:54 BST
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Hopes of a council tax freeze in Hartlepool appear to be on the rocks after a finance chief recommended at least a 3% rise was the only ‘robust’ option for the borough’s future.

Hartlepool Borough Council finance officers have warned upcoming decisions over council tax rates will be ‘probably the most important decisions that will ever be made’ in regards to the authority’s budget.

The council’s Finance and Policy Committee will on Monday make budget recommendations for 2021/22, including the council tax rate, which will then go before all councillors for final approval.

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A report ahead of the meeting from Chris Little, council director of resources and development, warned the most ‘sustainable option’ would be to increase council tax bills by 5%.

Council tax bills in Hartlepool may have to rise this year, despite the wishes of the ruling coalitionCouncil tax bills in Hartlepool may have to rise this year, despite the wishes of the ruling coalition
Council tax bills in Hartlepool may have to rise this year, despite the wishes of the ruling coalition

This would be made up of a 2% increase of core council tax, along with a 3% adult social care precept, the maximum increase allowed by the Government’s limits.

Council leader Shane Moore previously said the leading group would be aiming for a council tax freeze this year.

He also branded claims by the Labour Group that a 5% increase would be proposed as ‘fake news’.

Maximum rise in council tax ‘most sustainable option’

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Hartlepool Civic Centre, where councillors are facing a 'huge decision' on council taxHartlepool Civic Centre, where councillors are facing a 'huge decision' on council tax
Hartlepool Civic Centre, where councillors are facing a 'huge decision' on council tax

Mr Little, in his report, states the decisions made in regards to the budget will ‘provide the financial foundations’ for the council’s future ahead of the all out election planned for May this year.

He said: “The Government’s national council tax policy for 2021/22 continues to shift funding of local services from national taxation on to council tax.

“The decisions members make in relation to the 2021/22 budget are probably the most important budget decisions that will ever be made as they provide the financial foundations and legacy for the new council to be elected in May 2021.

“The most sustainable option for the council is to implement the maximum increase in council tax and the adult social care precept allowed by the Government’s referendum limits.

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