Most vulnerable residents in Cambridgeshire will continue to be offered support but this means council tax bills will need to rise.
Households are due to see their council tax jump by at least £73 a year, according to plans drawn up by Cambridgeshire County Council (CCC).
The authority is proposing to increase its share of council tax by 4.99 per cent, the maximum amount allowed by government before triggering a local referendum.
If agreed, Band D households will pay £1.41 a week more in council tax to the county council, and a Band C household will see a £65 increase for the year.
CCC said it had been facing a £21.4 million budget gap next year.
The county council has said that increasing council tax will raise £17.8million towards bridging that gap.
A report presented at a meeting in December last year said CCC was facing a £12.8m gap for 2023-24.
Cambridgeshire County Council’s share of council tax if plans agreed:
- Band A £49;
- Band B £57;
- Band C £65;
- Band D £73;
- Band E £90;
- Band F, £106;
- Band G £122;
- Band H £147.
Councillor Lucy Nethsingha, leader of CCC, said she did not like having to ask people for extra money at this time.
“I do understand just how much family budgets are under pressure, particularly some of the least well off families,” said Cllr Nethsingha.
“But I am well aware that some of the most vulnerable families are families that we support with our services.
“We need to be able to fund services or we will be putting the most vulnerable people at more risk.”
Cllr Nethsingha said the balance the joint administration had “reluctantly come to” was to raise council tax in order to ensure the authority can “support the most vulnerable”.
She added that the county council would do “everything it can” to make sure things are in place through district councils, such as council tax discounts, for “some of the most hard-up families”.
The county council is also proposing to use £15m of one-off funds from its reserves to use towards funding services.
This includes £1m towards continuing free school meal vouchers, £1m into flood mitigation and £1.3m for libraries.
Cllr Richard Howitt said he believed there would be public support for where the money was planned to be spent.
He said: “What we are spending the £15m of reserves on, we believe they are things the public would give very strong support for.
“Extending the free school meals vouchers we give to poor families so they can survive through the school holidays is an important achievement of this administration.”
Cllr Howitt said CCC has shown that it is not going to cut funding to tackle environmental issues, such as flood relief and draining Fenland’s rural roads, just “because the extreme weather has really impacted upon that.
“Putting more money into libraries to make them more inclusive and welcoming spaces, warm spaces at a time of freezing temperatures. They are important community resources around the county.”
Stephen Moir, chief executive at CCC, said Cambridgeshire was underfunded.
He said government delays to holding a fair funding review meant the county would continue to see its population increase and more pressure and demand put on the authority’s budget.
This is because Mr Moir feels the county was “not receiving funding Cambridgeshire communities need”.
Mr Moir said the authority was proposing to do what the government had encouraged in terms of raising council tax and using reserves.
He added that the county council had a “strong track record of good financial management”, but said it was the fifth year in a row the authority had been given a one-year settlement from the government.
He said a longer-term funding settlement was needed as not knowing caused an “additional level of uncertainty”.
The proposals are due to be discussed at a strategy and resources meeting on January 26, before being presented to a full council meeting on February 7 for final approval.
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