'Difficult decisions' warning amid tax hike plan

Bill EdgarLocal Democracy Reporting Service
News imageLDRS Reform deputy leader Darren Grimes. He has short brown hair that are shorter on the sides and combed to one side. He has green eyes and is smiling. He wears a navy suit, with light blue tie, lanyard and rosette. The background is blurred.LDRS
Deputy leader Darren Grimes said the council faces "difficult decisions"

A council has warned "difficult decisions" will have to be made, as it looks to increase council tax.

Durham County Council has announced its intention to raise bills by 3.1% to help balance its budget.

It comes after a decision by the Reform UK-led council in December to remove 100% council tax reductions for low-earners.

Deputy council leader Darren Grimes said he believed the move would help the authority provide "effective services".

"Some difficult decisions will need to be made ahead of the approval of the budget in February, however, I am confident we have identified proposals which will protect our financial position," he said.

Discussions next week

The council is set to receive £51.4m across three years from the government to help pay for services like bin collections, housing and children's services.

Council officers warned that if the authority did not increase its council tax, the forecast budget deficit would amount to £51.8m in 2030.

Grimes said the authority had identified savings to avoid hiking council tax by 4.99% - the maximum allowed without a referendum.

"We continue to face significant financial challenges, driven by increasing demand for statutory services, inflationary pressures, and changes in national funding policy," he said.

"These are all factors which are out of our control, however, we are working hard to set a balanced budget which protects vital services without putting additional cost on to the taxpayer.

The cabinet will discuss the council's budget at a meeting next Wednesday, according to the Local Democracy Reporting Service.

Final decisions on council tax proposals will be made in February as part of the final budget-setting process.

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