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Budget 2007/08

The budget for 2007/08 has formally been approved resulting in the lowest council tax rise in a decade.

Councillors approved the budget and council tax at a Full Council meeting on 20 February 2007.

A 3% rise in council tax was agreed - the lowest rate of increase for 10 years.

It means the average band D property precept will be £1080.26 for our services in 2007/08.

With the addition of the police, fire and parish and town council precepts, which we do not set, the total bill for an a average band D property will rise to £1319.13 - an overall increase of 3.48%.

The agreed budget contains a £40m capital programme which includes the following:

  • £25m to continue our substantial investment in local schools and youth facilities
  • £5.5m on adult social care and housing services
  • £6.4m on transport, environmental and community safety improvements

In preparing the budget for 2007/08 we faced a number of problems including the following:

  • The increased cost of providing services - including contracts for highway maintenance and energy and staffing costs
  • A relatively low increase of 2.3% in central government funding
  • An ageing population placing increasing demands on adult social services

In response to this a total of £8.5m in savings have been identified across the council in order to keep the council tax increase as low as possible while still maintaining essential service standards.

These savings include the following:

  • £2.6m in efficiency savings in the way we work
  • £2.2m in increases in income
  • £3.7m in savings from a range of measures to reduce expenditure by trimming budgets as tightly as possible

We will issue our medium-term financial forecast and budget book for 2007/08 in March 2007.

Following an Executive meeting on 13 February 2007 it recommended a council tax rise of 3% in respect of council services.

It noted the strong public reaction to the above-inflation increases in council tax in recent years in arriving at its decision.

It was also concerned with the affordability of council tax for those on low and fixed incomes and looked forward to the results of the Lyons review on system reform.

For further information and background on the Executive's decisions please use the following links:

The Executive approved a draft budget back in December 2006 following the setting of its budget principles in October 2006.

For further information on the December 2006 reports please use the following links:

For further information on the October 2006 reports please use the following links:

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