Bedford Borough Council’s executive is proposing a maximum council tax increase of 5% for 2024/25, which critics say is 75% more than the increase last year in cash terms for Bedfordians.
The council’s Conservative Executive agreed on Wednesday night (24 January 24) to recommend a 4.99 per cent council tax rise to the full council.
This increase consists of the maximum two per cent increase in the Adult Social Care Precept and a 2.99 per cent increase in core council tax.
These are the maximum increases councils with social care responsibilities can propose without holding a local referendum.
The portfolio holder for finance, risk and welfare, councillor Graeme Coombes (Conservative, Wixams & Wilstead) said: “Council tax is estimated this year to yield £117.336 million.
“The revenue support grant, which has increased by 6.7 per cent in line with CPI [Consumer Prices Index] to £7.396 million, and business rates are estimated to yield £45.506 million.
“The executive is committed to protect and invest in services, and in November 2023 we launched an ambitious four-year efficiency plan to transform service quality, improve productivity, tackle waste and inefficiency, and enhance experience for customer service.
“We’re looking for service efficiency rather than service cuts,” he said.
“This budget confirms this commitment while enabling carefully planned and affordable investment that recognises the need for support and investment for town centres, leisure services, green solutions, care facilities.
“And in addition, deliver an effective maintenance regime and essential capacity in the organisation to deliver quality services.
“I cannot pretend that setting the budget for 24/25 has been an easy task, but there is a real commitment to make a difference to rescue this council and make Bedford borough a better place.”
The Executive agreed to the recommendation without question or comments.
Pushback from opposition
While the Executive agreed the proposes rise without question, councillors in opposition parties say they’ll be pushing back.
Cllr Michael Headley (Liberal Democrats, Putnoe) said: “This Budget is going to hit residents hard just as we’re all having to tighten our belts and it is a result of poor financial management by the Conservatives.
“We have been calling for them to put plans in place to get control of council spending for months and now we are seeing the predictable results: a record increase in Council Tax and an extra £56 million in borrowing.
“The Council Tax increase is the highest since the Conservatives were last in control of the now abolished County Council. When residents are facing huge increases in the cost of living, the Conservatives are heaping on more pressure.
The Liberal Democrats, who had been the leaders of Bedford Borough Council for 14 years, until the elections in May 2023, also criticised the borrowing proposed by the Mayor.
In a statement, a spokesperson for the party said the Mayor is also planning to borrow “an eyewatering” extra £56 million.
“In cash terms, the tax increase for residents is a whopping 75% more than the increase last year,” added Cllr Headley.
“And the extra £56 million in borrowing will mean £5 million more in debt payments every year – this means more cuts or increases in Council Tax in the future,” added
This buy-now-pay-later Budget is not only a blow for residents now, but everyone will be paying for it for years to come.
“Despite all this, the Budget doesn’t even properly balance! The Conservatives are having to raid the reserves for £2.5 million to balance their own poorly put together Budget.
“This Budget is typical of the Conservatives’ short-term thinking: loading up the debt burden on future generations and then balancing the books on the back of hard-hit residents.”
by John Guinn
Local Democracy Reporter
additional reporting by
Paul Hutchinson for the Bedford Independent
