Council Tax freeze set to be agreed - but bills in Borders will still rise
Last updated 13th Feb 2024
It's been confirmed people living in the Borders won't have to pay any more Council Tax over the coming year.
Scottish Borders Council is set to approve a freeze when it meets next week, after accepting additional funding from the Scottish Government.
It's being awarded £3.2 million - which the Scottish Government states equates to an equivalent of a five per cent increase, and is more than the £2.9 million the local authority had budgeted from a four per cent increase.
However, bills dropping through letter boxes are still set to go up by an average of £35 a year from April, after Scottish Water announced an 8.8 per cent increase in its rates, which the council collects on their behalf.
And today's Executive meeting heard Scottish Borders Council could be planning its HIGHEST EVER increase in Council Tax for April 1st, 2025 due to continued pressures on its budget.
Councillor Mark Rowley, Executive Member for Service Delivery and Transformation at Scottish Borders Council, said: “Council Tax makes up around a fifth of our funding but is crucial income which helps us to maintain services right across the region, supporting all areas of our budget.
“A freeze benefits householders’ budgets and the funding from the Scottish Government compensates the Council. However, due to continued financial pressures, we will be required to make further savings in our next budget.”
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While Council Tax freeze is set to be approved at a meeting next Wednesday, February 21st, councillors will meet to agree the full budget the following Thursday, February 29th.
A spokesperson added: "Whilst Council Tax will not go up, Scottish Water has announced an 8.8 per cent increase in charges for water and waste water services, which the Council is required to collect on their behalf through annual billing. This will impact on the bill households receive."
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Scottish Water says the increase from April 1st will help to protect ‘vital’ services.
The unmetered household charges for 2024/25 will see rates of £168.60 in council tax band A, £196.70 in band B, £224.80 in band C and £252.90 in band D. Customers in band E will pay £309.10, with rates rising to £365.30 in band F, £421.50 in band G and £505.80 in band H.
Scottish Water chief executive Alex Plant said: “Whilst increases in bills are never welcome, and we acknowledge that cost-of-living pressures remain this 70p a week on average increase will set us on a pathway to recover ground lost over the past two years when charges were set at a level lower than allowed for under the regulatory settlement."
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