St Helens Council approves budget
The budget and council tax increase has been passed in a full council meeting
The 2021/22 budget was officially approved at a full meeting of St Helens Borough Council tonight.
This year’s budget includes plans to restore and then reopen both the Gamble building in St Helens town centre and Earlestown Town Hall.
A total of £3.4 million has been allocated to the two heritage projects for 2021/22.
The Gamble building on Victoria Square will receive £1.4 million for its external renovations, with a further £2.2 million for its interior works in 2022/23.
Earlestown Town Hall is set to receive a boost of £2 million over the next year.
Councillors say they worked closely with the public on the consultation, and the response was in favour of renovating and reopening the buildings.
The funding comes from capital expenditure, as set out in the budget plans, which covers infrastructure investment such as building and major roadworks.
Government procedures dictate such expenditure cannot be used towards revenue issues, such as the daily running cost of council services.
The approved budget also comes with a 4.99 per cent council tax increase, to cover this revenue expenditure.
The motion to pass the budget was carried with 40 votes.
Cllr Allan Jones, Conservative Party Leader for the borough, along with fellow Conservative councillors Cllr Linda Mussell and Cllr Rob Reynolds, abstained from the vote.
Cllr David O’Keefe, Green Party leader for the borough, also abstained.
Cllr David van der Burg of the Green Party voted for the motion “with reservations”.
Cllr Teresa Sims of the Liberal Democrats and Cllr Paul Pritchard of the Labour Party offered apologies for their absence.
On the matter of council tax, the motion was also carried with 40 votes. Cllrs Jones, Mussell and Reynolds voted against the motion. Cllr O’Keefe abstained.
The changes will mean an annual council tax bill of £1,578.78 will apply to Band D properties.
In 2020/21, a Band D property cost £1,503.75 – meaning the increase will cost the average property £75.03.
Last week, the cabinet agreed there will be no change to the council tax reduction scheme until the next financial year, when the “full impact” of Covid-19 is known.
The council can increase council tax rates by 2 per cent each year according to the 2021/22 Local Government Finance Settlement.
Local authorities responsible for social care, such as St Helens Borough Council, are additionally permitted to raise the Adult Social Care precept up to 3 per cent each year, making it possible for council tax to rise by 5 per cent in total without holding a referendum.
Councillors expressed that it was not only the impact of the pandemic that has forced cuts to services, but cuts from central government.
Council leader David Baines once again stressed that the council’s core funding has dropped from £127 million in 2010 to just £12 million in 2020.
Cllr Martin Bond, cabinet member for finace, said that government policies have been “levelling us down” since 2010.
He added: “Local government faces unparalleled challenges as a consequence of Covid-19. … In post-industrial areas like ours, the legacy of de-industrialisation means the take for council tax and business rate is much lower than in wealthier areas.
“Without a 4.99 per cent increase in council tax, finding a balance between regeneration and caring for adults and children would be nigh on impossible.
“Asking people to give more through Council Tax is not easy and we understand so many have been affected by the pandemic.
“There is support available for those who are struggling so please speak to us.”
Cllr Rob Reynolds of the Conservative Party responded: “Cllr Bond says we need to bear in mind the difficulties the Labour group face in preparing the budget, but attacks the government without acknowledging any of the difficulties the government faces.
“With a national debt in excess of £2 trillion, and the cost of borrowing rising, the Chancellor has to walk a tightrope.
“Despite the difficult situation, the government has provided St Helens Council with £30.2 million of direct support, and as of December 31, 7,200 people in the borough were receiving support through the Job Retention Scheme.
“The government has provided direct support to our businesses of £50.476 million, and support for the borough to date totals over £88 million.”
The budget approved on Wednesday night also includes the reopening of the swimming pool at Sutton Leisure Centre, a revamped bus station for the town centre, and investment for St Helens Youth Zone.
Councillors expressed their excitement regarding the demolition of the Chalon Way car park which began on Wednesday.
They hope the move will be a catalyst to regenerate the area around the Sankey Canal.