Surrey County Conservatives

Council Tax to rise 5% in the face of chronic government under-funding 31st January 2006

Surrey County Council’s Conservative controlled Executive has today been forced to recommend a 5% rise in council tax for 2006/2007 in advance of next week’s budget council meeting as the council faces an unprecedented financial crisis at the hands of government.

The 5% rise comes as the threat of chronic under-funding for the council was confirmed by the government today when, despite efforts to lobby the Local Government Minister, Phil Woolas, to ensure Surrey receives a fair level of funding, the ODPM published its revised grant figures for local authorities giving Surrey a derisory increase of £17,000.

Although the Conservative administration had anticipated an unfavourable grant settlement from the government, and had instigated the Business Delivery Review back in September to find substantial savings from the Council’s budget, the 5% rise is vital if the council is to maintain its status as an excellent service provider.

Commenting Conservative Group Leader, Nick Skellett, said:

“The publication of the government’s final financial settlement today has confirmed our worst fear. Despite intensive lobbying of the government for fairer funding for Surrey our pleas have been met with a derisory £17,000 increase in our grant. Given our chronic level of under-funding we as an administration feel that we have been left with no choice but to raise council tax by 5% for the coming year”

He added

“Of course, our current financial situation would be much worst had we not taken the decision to carry out the business delivery review, which has helped the council find the necessary savings to keep the council tax rise down to the bare minimum, without adversely impacting on our primary function of providing services for Surrey’s residents”.