Epsom News
Epsom and Ewell vote in favour of council tax increase
1:37pm Wednesday 22nd February 2012
Epsom and Ewell Council has rejected a government grant allowing it to freeze council tax and has instead voted to increase it by 2.5 percent - the only borough council in Surrey so far to reject the offer.
Councillors voted against a freeze at a full council meeting last night, Tuesday, February 21.
The council had already said that accepting the government’s grant would lead to a £390,000 "black hole" over a three year period and would threaten delivery of services.
Seven other councils in Surrey, including Mole Valley and Reigate and Banstead, have all voted to freeze council tax.
Elmbridge Council has already indicated it too will be freezing council tax tonight.
Spelthorne Borough council is the only other council in Surrey proposing an increase of 2.94 per cent subject to agreement at a full council meeting.
The decision follows that of Surrey County Council and Surrey Police who earlier this month put up their element of council tax by 2.99 per cent and 2.5 per cent respectively. Speaking at the meeting Councillor Neil Dallen, chairman of the strategy and resources committee, said the council had already delivered over £2m in efficiency saving and its medium term financial strategy will provide further savings of £500,000 a year to 2016, but that a further £1.5m still needs to be saved by 2016.
He said: "The Government offered us a one-off payment equivalent to a 2.5 per cent rise on council tax if we froze council tax for another year. We, along with Surrey Police and Surrey County Council, carefully considered this offer. The long term impact of this one-off ‘gift’ was too much and it would result in lost revenue of £390,000 for us over the following three years alone."
Resident’s Association Councillor Clive Woodbridge added: "It was not an easy decision refusing the government grant. We looked into all the issues and we decided it’s not in the interests of our residents at this time to take a government grant. It will lead to greater problems and hardship."
Labour councillors also voted for an increase in council tax "reluctantly" joining Residents Association councillors.
Labour Councillor Dan Stevens said: "It is with reluctance that the Labour group is prepared to accept a 2.5 per cent increase in council tax, partly as a result of the coalition’s mismanagement of local government."
However Conservative and Liberal Democrat Councillors voted against the increase.
Liberal Democrat Councillor Alison Kelly, said: "We would take advantage of the Government's proposals concerning council tax, which would offer a zero per cent increase to our residents. This would give us an extra year to generate additional income and reassess our priorities to ensure the staffing roles helped us reach our goals."
Conservative councillor Darren Dale added that an increase to council tax would not benefit those already struggling to find affordable housing or those who are already homeless in the borough.
He said: "These people need our protection and support at this time and on that basis I support the government grant and not to increase the council tax by 2.5 per cent."
The increase in council tax will be the equivalent of 8 pence per week for an average band D council tax payer, equating to £4.08p per year.
Added to an extra £33.28 for Surrey County Council and £4.95 for Surrey Police per year, the additional yearly cost for Epsom and Ewell residents will be £42.31 per year.