Thurrock Council cabinet pushes ahead with council tax increase

The council, which is essentially bankrupt, is planning to increase council tax by 9.99%

Author: Charlotte Evans-YoungPublished 23rd Feb 2023

In a cabinet meeting last night, Thurrock Council agreed to push ahead with plans to increase council tax by almost 10%.

While most council tax rises are capped at 5%, the conservative-run council "was granted special permission by the levelling up minister (Michael Gove) to raise council tax by an extra 5% to 10% without the need for a local referendum".

This is despite a petition set up by residents, which has so far garnered almost 3,000 signatures, to stop the move going ahead.

Why is council tax rising?

The council say they've been forced to increase council tax after finding themselves with debts of almost £1.5bn.

The debt was in part caused by a series of high-risk investments including investments into things like solar energy.

What does this mean for people paying council tax?

The average Band D homeowner in Thurrock will end up paying around an extra £144 per year in council tax.

But, the council have said they "recognise the challenge an increase of Council Tax of 9.99% presents to residents" and "a Hardship Fund of £616,000 has been included in the budget".

What else has the 2023/24 budget outlined?

In a bid to balance the books, the council is also planning on reducing services such as street cleaning, youth programmes, and certain bus routes.

On top of that, the government has agreed to provide £180m in bailout support over the next year to help the council.

This will all be overseen by Essex County Council who, last year, were appointed to support the financial challenges facing Thurrock Council.

Is this set in stone?

Not yet. In order for the budget to be approved, the whole council needs to meet.

There is a meeting next Wednesday to make the final decision.

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