A war of words has broken out at Bedford Borough Council after plans to consult on changes to the Council Tax Reduction Scheme (CTR) were abandoned.
Liberal Democrat deputy leader cllr Michael Headley (Putnoe) branded the original proposals “the cruellest scheme in the entire country, with punishing levels of council tax increases for the poorest in our communities.”
He said a Band B household could have faced an £888 rise, arguing, “The knee-jerk reaction of the Conservatives to try and balance the books on the backs of the poorest should rightly be rejected.
“They got the council into this mess by reckless spending. That is where the savings have to start. This is a very welcome U-turn.”
Stabilising finances
The council’s portfolio holder for finance and corporate services, cllr Marc Frost (Conservative, Wixams and Wilstead), who signed off the decision to rescind the July consultation on August 28, rejected claims of a climbdown.
“Let’s be crystal clear. There has been no decision to change the Council Tax Reduction Scheme. The Executive simply agreed to consult on options and receive feedback from the public,” he said.
He described the current scheme as “the most expensive… in the country” and “unsustainable,” adding, “Calling this a ‘U-turn’ is nonsense.
“What we’re doing is the homework the Lib Dems refused to do, stabilising finances, rebuilding reserves, and making sure any future scheme is financially sustainable and fair for both the vulnerable and Bedford borough taxpayers.”
The decision notice said an alternative CTR scheme would be developed that is “more affordable and appropriately aligned to good practice schemes,” while seeking to minimise the impact on vulnerable residents.
The original consultation plans were estimated to raise between £2.5 million and £2.8 million after costs. The current scheme reduces council tax revenue by about £8 million a year.
The new scheme will be brought to the Executive “at the earliest opportunity.”
By John Guinn
Local Democracy Reporter
