Hampshire council tax set to rise
County bosses are proposing a council tax increase by 4.99%
Last updated 9th Feb 2021
Plans to increase council tax and invest millions of pounds in services have moved a step closer.
Cabinet members at Hampshire County Council have backed the proposed budget for the 2021/22 financial year as well as an investment plan for the next three years.
As reported, county bosses are proposing a council tax increase by 4.99% , with 3% going towards adults’ social care services.
The increase would mean that from April the council tax for a Band D property could rise by £64 per year to £1,350.45.
County councillors are also planning to spend £13m to improve the resilience of Hampshire roads and £1.2m on climate change initiatives.
As previously reported, there are no new saving proposals as part of the 2021/22 budget.
It comes as plans to save £80m by 2021 were approved in 2019 and saw a number of cuts such as the closure of some council-run libraries.
However, the authority might have to save an extra £80m by 2023 while the unfunded costs and losses from Covid-19 are expected to be £88.3m over the next three years.
During a meeting held this morning, Cllr Keith House, opposition leader at the county council, described the proposed budget as “the most depressing report”.
He asked councillors what plans they have to ensure financial sustainability in the future.
Council leader Keith Mans said the two year budget served the council well during the pandemic.
“We are looking ahead to see how we can continue to balance the books”, he said.
Cabinet members also supported plans to invest £418m in schools, roads, transport and climate change over the next three years.
As reported, the authority is planning to invest £118m to improve roads and bridges; £68m to expand school buildings and £33m to reduce carbon emissions through measures such as energy efficient windows and solar panels.
An extra £91m is set to be spent on transport schemes.
Cllr Stephen Reid, executive member for commercial strategy, human resources and performance, highlighted that the authority has been able to face the Covid-19 crisis thanks to its reserves.
He added: “We have a good balanced budget as always. We have problems that we are tackling and we know how to tackle them and we can go forward with confidence that Hampshire County Council remains one of the strongest local authorities in the country.”
All cabinet members supported the proposed budget and investment plan.
A final decision on the county council’s budget for 2021/22 will be made by the full council on February 25.