Council Tax in Coventry is set to rise by another inflation-busting 4.9 per cent next AprilWhile additional cuts to services are not being planned for next year, the council is forecasting having to make major cuts and savings of £19million by 2020/21.
The figures are produced in Labour council leaders’ Pre-Budget Report released today, for discussion at the council’s cabinet next week.
The 4.9 per cent rise – the same as was implemented for this financial year, 2017/18 – includes 3 per cent to go directly to ‘adult social care’.
No council is able to set a council tax rise of 5 per cent or above without staging a referendum to allow local voters to decide.
Coventry City Council’s pre-budget report forecasts a £3 million budget shortfall next year, particularly because of overspending this year by some council departments.
Council leaders say among the biggest reasons for the failure to balance the books so far are:
* The cost of children is care rising, with 650 youngsters now in costly council care. It is despite years of attempts to reduce these costs.
* The flagging city centre, with many properties lying empty, resulting in less rent for the council.
* The increasing costs to the council of housing homeless people and families in temporary accommodation.
Councillor John Mutton, finance cabinet member, said: “We are explaining our proposals now so that the local community can tell us what they think."