Town tax rises 2.5% (From Stroud News and Journal)

Town tax rises 2.5%

STROUD Town Council looks set to raid its reserves over the coming three years to keep council tax at an acceptable level.

The council, meeting on Monday night to set its budget for the coming financial year, agreed to keep the increase down to 2.5 per cent roughly in line with inflation, meaning the overall precept was up £7,600 on last year's figure.

This was despite a rise of over £40,000 in employment costs due to payrises for staff and plans to hire a new project worker.

The ruling Green Party had proposed an increase of 5.45 per cent but this was frowned upon by Labour and Independent councillors.

"I think it would be absolutely disgraceful if we went to the charge payers of this town with an increase of that size," said Cllr Charlie Burling (Lab).

He argued the council had too much cash in reserves and money stacking up from planned projects which had not been delivered.

"It's not financial prudence, it's just irresponsibility," he said. "I don't care how you do it, but more than 2.5 per cent is unacceptable."

Cllr Kevin Cranston (Green) suggested Labour candidates were trying to campaign on a give-away budget in the run up to the general election and warned that would lead to a massive increase in future years.

Cllr Andy Read (Lab) said the council had two choices - to keep the precept at the level suggested by the Greens and not hit the reserves so hard, or to raid the reserves and reduce the precept.

At the end of a long and often fractious debate, the council agreed it would accept the budget as presented by the Greens, but would cut £5,000 from the employment costs and shave off almost £4,000 from elsewhere on the budget, resulting in a total increase of £7,600 on last year's figure.

This only includes the town council's share of the council tax. The district council will set it's figure tomorrow, Thursday.