Thursday 28 February 2013

Stockton Council approves council tax hike

Stockton Council last night approved its budget for 2013/14 agreeing in the process to a referendum dodging 1.9% increase in council tax.

An alternative budget proposal from the Conservative group of councillors which would have seen council tax levels for 2013/14 frozen was regrettably, but nevertheless predictably, defeated. Interestingly, even though the Lib Dem and Ingleby Barwick Independent (IBIS) councillors voted with Labour to increase residents' council tax bills not one councillor from IBIS contributed to the debate nor even attempted to justify their voting for the hike.

Put in a national context, even amongst those other councils who have also opted to increase their council tax rates, the average rise was just 0.8%. In a local context, neighbouring Hambleton and Durham councils are yet again freezing their rates.

In the Stockton Council's press release early this morning, the Leader of the Council, Bob Cook, said, "we simply cannot afford the additional £2million cost that the [council tax] freeze would have over the next three years."

What councillor Cook neglected to include in his press release was the fact that the Labour / IBIS coalition cabinet did manage to find an additional £4.7million to throw at the council's Stockton High Street vanity project. You will, of course, draw your own conclusions as to what this says about Labour's priorities.

As a result of Stockton Council's program of efficiency, improvement and transformation (EIT) reviews - launched under the then leadership of Conservative councillor Ken Lupton - the council has been able to absorb some £31 million in savings already, with scant impact on services. The council is now a much leaner, more efficient body following the EIT initiative.

However, the difficult questions the council now faces are not simply ones of further reductions in funding, but rather questions of political courage.

When it comes to making further efficiencies, the low hanging fruits have already been plucked. The potential areas from where further savings can be found are not as immediately apparent as they once were. Much more creative thinking and, yes, tough decisions, are needed.

Last night the council found itself at a crossroads (or more accurately, a T-junction).

One path was undoubtedly more challenging to tread, with obstacles to be tackled head on and overcome, this being the path to a council living within its means and not passing an ever-growing buck to the taxpayer.

The second path was a much less daunting prospect, smoothed as it was by the ever-diminishing content of taxpayers' wallets. There is no need to live within your means whilst on this path; you simply increase your means to match how you live.

Faced with choosing the path of financial prudence, of doing right by the taxpayer, councillors from Labour, Liberal Democrats and IBIS instead joined forces to choose the path of cowardice and easy decisions.

An unnamed councillor who voted for last night's budget

But then again, what's new?

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