Leader Martin Tett explains reasons behind proposed maximum council tax rise

Bucks Council Leader Martin Tett has discussed the issues in trying to balance the upcoming budget during the cost of living crisis.

The council leader spoke to The Bucks Herald ahead of the 23/24 budget where the local authority has provisionally agreed to raise council tax by 4.99 per cent.

This is the highest rate the council can raise its tax rate by without triggering a local referendum.

Within the rise is a two per cent social precept set by the Government.

Councillor Tett described planning its next budget as “incredibly challenging” due to the crippling rise in inflation nationally.

The councillor told The Bucks Herald: “Over a year ago we were talking about inflation down at two to four per cent, now suddenly we’re looking at inflation at around 11%. That has had a massive impact on us.”

National inflation reached a 41-year high in the UK in December 2022.

Like households, the council has been forced to adapt to soaring prices, while the local authority does not receive support packages, and claims inflation has been as high as 30% when buying materials for major road schemes.

An additional challenge the council has faced over the past 12 months is political uncertainty.

Until late in the day Bucks Council was unsure how the Government would be allocating finances after two major cabinet reshuffles in quick succession.

Councillor Tett added: “So, political uncertainty, high inflation, energy costs, legislative uncertainty because of what is going on in terms of adult social care reform, potential changes in schools legislation, and there was talk by the Government of literally reforming the whole way in which local Governments are financed, which again right up until later in the day we didn’t know whether that was going ahead.

"So we’ve been flying blind to be honest with you.”

Ahead of the potential tax hike the council has outlined its need to balance the books and avoid ruin in a testing financial climate.

The local authority has highlighted that many other councils have filed Section 114 notices, conceding to the Government that they incapable of delivering a balanced budget.

Bucks Council has highlighted this is not the bleak future faced in the county.

Councillor Tett highlighted that the tax increase would allow the local authority to continue its £100 million road improvement project.

While also stating that although a further council tax increase is unlikely to be popular it only represents a £1.61 increase per week to band D households.

Yesterday (5 January), the council also announced where it plans to allocate funding in the new budget.

Within the budget proposals the council is suggesting: allocating another £125 million on fixing and maintaining roads, plus nearly £143 million on school improvements, £20 million on housing and tackling homelessness, £14 million on climate change and flood prevention, and more than £20 million on recycling facilities.

Chancellor Jeremy Hunt allowed local authorities to raise council tax to 4.99 per cent as part of his Autumn Statement, the maximum raise was previously 2.99 per cent.