Sheffield Council to consider tax rise and job cuts

Sheffield City Council has warned Government cuts will continue to 'hit the city hard' as it looks to set this year’s budget

Published 27th Jan 2016

Council tax in Sheffield could go up by nearly 2 per cent, and 400 jobs could be axed in a bid to save millions of pounds.

Sheffield City Council has warned that Government cuts will continue to 'hit the city hard' as it looks to set this year’s budget.

The council says this is the sixth year in a row that it's been hit with 'swingeing' cuts from Government - the worst series of cuts in its history.

Councillors say they're having to make 'tough decisions', which include the possibility of up to 400 council jobs going over the next year and council tax increasing by 1.99 per cent.

On top of this, the council is expecting to implement the Government’s social care “precept” of two per cent, although this still falls short of covering the increasing demand for care services next year alone.

It's understood the Council Tax Hardship fund will have an extra ÂŁ200,000 added to it this year to help those who struggle to be able to pay their bills though.

Councillor Ben Curran, Sheffield City Council’s Cabinet Member for Finance and Resources said: **“These Government cuts are continuing to hit the city and the days of austerity are far from over for the people of Sheffield, despite Government promises to the contrary.

“Our pledge is still to make sure we protect the most vulnerable in society and we will endeavour to make this happen. That is why the Council Tax Hardship fund is increasing to protect those who need us most.

“The reality is by the end of 2016/17 we will have had to make £350m of savings from our budget with the predictions of further cuts to still come in future years,” he added.

“We will always balance the books but we cannot do this sadly without changes being felt.”

As part of the savings proposals, the council is required to submit a form to tell the Government about potential redundancies, which this year could be up to 400.

The council says it will take steps to minimise redundancies, such as offering Voluntary Severance and Voluntary Early Retirement schemes.

This comes ahead of a budget consultation event tomorrow evening in the Town Hall, where the council will discuss budget proposals which it plans to take forward next month.

Other proposals include:

  •    Increased partnership working to change how the council funds areas like businesses, sports facilities and museums  -        Continuing to reduce staffing and operating costs  -        Working with partners in the NHS to deliver savings through commissioning and contract arrangements  -        Moving more work online where possible

After tomorrow's meeting, the next stage will be to put the proposed 2015/16 budget before Cabinet in February, before a final version is agreed at Full Council in March.