SOUTH TYNESIDE’S LABOUR COUNCIL ANNOUNCE LOWEST COUNCIL TAX INCREASE FOR 13 YEARS

South Tyneside Council yesterday (Thursday 28th February) agreed its lowest Council Tax increase for 13 years.

The Council agreed a rise of 2.95% for 2008/09. Well below the current rate of inflation, which is currently around 4.1%

For the majority of householders in South Tyneside (66.8%) it will mean an increase of 52p per week - an annual increase of £26.88 giving a new Band A charge of £913.92.

The Council Leader, Councillor Paul Waggott said: "South Tyneside maintained its four star excellent council rating from the latest Audit Commission inspection and we are improving well. Consulting with our communities on the budget and Council Tax is hugely important to us and once again this year we listened to what they said and focused our spending on the priorities that really matter to them.

"This year there was widespread support for continuing our investment in services while keeping Council Tax increases down to a minimum and less than inflation. I am delighted that we have been able to achieve this and deliver one of the lowest increases in the Borough since 1995 and one of the lowest in the region this year."

 

Opposition Parties did not oppose the budget presented by Cllr John Wood, the Councils Lead Member for Resources.

The Councils Deputy Leader, Iain Malcolm said: “Had we implemented the Hard left Independent budget proposals presented to the April 2007 Council meeting, the Boroughs residents would this year be facing an inflation busting 5% increase in their council tax. Instead, residents face a more modest 2.9% increase – the lowest in over a decade.”

Background Information:

• The revenue budget for 2008/09 is £162.419 million.
• Council Tax for 2008/09 has increased by 3% - the lowest rise in 13 years.
• The majority of Borough householders (66.8%) are in Band A and will pay an extra 52p per week or £26.88 per year.
• For Band D Council Tax payers the change will mean an increase of 78p per week or £40.32 per year giving a new charge of £1,370.88.
• Rents for Council houses will increase by 6.7% in accordance with government rent restructuring guidelines.

Band	Annual Council Tax	Weekly Increase
A	£913.92	52p
B	£1066.24	60p
C	£1,218.5	69p
D	£1,370.88	78p
E	£1,675.52	95p
F	£1,980.16	£1.12
G	£2,284.80	£1.29
H	£2,741.76	£1.55