Below-inflation council tax rise

Erewash Borough Council has again, detailed plans to raise council tax by less than inflation – with a 2.99 per cent increase that adds just 13p a week to a typical Band D property.

The authority’s leader, Councillor James Dawson and his team are poised to agree to the rise at a budget summit on Tuesday 25th February.

The meeting of what is called the Council Executive comes after the UK’s hopes of an interest rate cut were dashed by inflation hitting three per cent. 

Councillor Dawson said: “With food bills being pushed up by costlier meat, bread and cereals we are only too aware that residents are struggling ahead of council tax bills dropping through letterboxes. We are keen to do what we can to help. Residents should remember however that the lion’s share of council tax does not come to the town hall. Almost three quarters goes to Derbyshire County Council, who have announced a 4.99 per cent increase.

“The police, who want a similar rise, get around 13 per cent. Money also goes to the fire service. The borough council’s share is only around ten per cent.”

The meeting at Ilkeston Town Hall at 4pm on 25th February is set to confirm a string of good news announcements for Erewash residents despite council finances continuing to be tight and the authority seeking a further £731,000 of savings. 

For the second year in a row the council expects to balance its budget – after years of dipping into its emergency reserves. 

There will also be:

• An extra £100,000 for playgrounds across the borough – following the opening last year of a £400,000 showcase fun zone in Long Eaton’s West Park.
• A continuation of the Household Support Fund to help struggling residents.
• The reinstatement of a bus shelter maintenance budget.
• Extra green space investment – as the council responds to feedback about its rewilding mission and refines its approach.
• A freeze on car parking charges to support the local economy.
• A new grant scheme for councillors to support small projects – plus additional funding to support the work of Erewash Voluntary Action.
• A “good causes” fund of £2million – details of which will be announced once plans for local government reorganisation become clearer. 

Councillor Dawson added: “The council is still facing financial gaps in the future and we need to set aside funds to protect services but we hope to be in a position where we can deliver some positive projects for residents.” The money will come from business rates. A report says these have seen an “upturn” – in part thanks to “new businesses coming into the borough”.