Gateshead councillors are poised to approve a council tax rise, over £10m in budget cuts, and the use of millions in reserves to balance the books next week.
The local authority is set to approve its annual budget next Thursday containing a raft of measures to deliver a legally balanced budget. The measures include a legal maximum 4.99% increase in council tax, including the social care precept.
According to council calculations, this would equate to a weekly increase of £1.46 for band A homes, or £2.19 in band D properties.
The budget proposals, which are also set for discussion at Gateshead Council’s cabinet ahead of approval, also call for £10.872m in cuts so far more further clarity of the cuts have been forthcoming. The cuts form part of the council’s strategy to plug an over £40m blackhole over the next five years.
£4m is also being utilised from the council’s reserves. Gateshead Council has also announced it will scrap council tax for those with less than a year to live.
Manchester City Council was the first authority to remove the tax from the terminally ill, a move Marie and Hospice UK have campaigned to be rolled out nationwide.
Councillor Martin Gannon, leader of the council, said: “We not only want people to love where they live, but we hope people will want to stay in Gateshead. For this we need to offer the best possible start for our children and young people, providing additional support where needed, but we then need to have jobs, homes and safe community spaces we can all be proud of so our residents always want to call Gateshead home.”
“Our budget proposals support this vision. We know that looking after our local environment, improving roads and ensuring safe spaces are all top priorities for our residents and this budget shows our commitment to delivering these for the people of Gateshead.”
A rolling programme of investment worth over £709m over the next five years will be considered to support ambitious plans for the future of Gateshead. Further investment in Gateshead Town Centre, support for children and young people with additional needs, better access to broadband and improved street lighting are all areas put forward for additional funds.
Full council will vote on the budget at the civic centre on 26 February at 2:30pm.
