Households across South Holland are braced for a rise in council tax bills next month – after the district’s finance chief admitted that we are ‘massively underfunded’ by Government.
South Holland District Council has approved a three per cent increase in its share of the bill – which will mean that Band D properties will be paying £201.42 to help fund the authorities services such as refuse collection.
Council leader Nick Worth assured members that South Holland was ‘well managed’ and will not be struggling like so many other authorities across the country which are facing bankruptcy.
Members of the council also set their precept for the next financial year at £6.098million (£5.831million for the previous year) and has seen a small rise in its funding from Government £2.044million compared with £1,924 million for 2023/24.
A major financial problem putting pressure on the council’s budgets is the £3.413million levy from internal drainage boards – which has also risen due to the high energy costs in pumping water to save the area from flooding – but this will swallow up much of the additional revenue raised by the tax rise. The council has been lobbying the Government for a new way to fund the drainage boards.
Finance portfolio holder Coun Paul Redgate, in responding to a question from Coun Rob Gibson, said at Thursday’s full council meeting: “Yes we are massively under funded by the government. Lincolnshire as a whole is massively under funded by government.”
Coun Redgate had earlier in the debate outlined that international crises are having detrimental effect on the finances of South Holland residents, businesses and the council.
He went onto say the council was aware that it needed to deliver efficiencies.
“Ultimately we are well run council. We need to make good pragmatic decisions for our residents and not make knee jerk decisions” he told members.
Leader Coun Worth had held up a copy of the Evening Standard which highlighted the financial problems faced by many councils during the meeting.
He said: “Right across the country, councils are struggling with finances and while I am pleased to say this council is not one of them that is because it is extremely well managed.”
Later in the meeting he expressed concerns that parish councils do not face the same precept caps that district councils do but this was challenged by Coun Bryan Alcock.
The Crowland councillor said: “I share his concerns but we do need to be careful that we are not critical without first totally understanding the problems that councils operate under.”
However, this was accepted by Coun Worth who responded to say “Fair comment.”
The district’s lowest council tax bills will be dropping through the letter boxes of Band A properties in Surfleet who will be charged £1,389.71, while the most expensive rates will be hitting Band H owners in Long Sutton. This bill is £4,406.10.
Long Sutton Band D residents will be paying £2,203.05 – the highest in that category – while similar homes in Whaplode get the lowest bill of £2,097.06.
Lincolnshire Police and Crime Panel has approved a rise of £304.20 on a Band D property to fund the county’s force while Lincolnshire County Council’s share of the bill is expected to be £1,578.69 for a similar property.
Surfleet Parish Council has once again set the lowest precept in the district at just £130 as it benefits from a donation received by Surfleet United Charities which is used to keep every residents’ bills as low as possible.
Holbeach Parish Council has set the highest precept in the district at £330,080 – but the burden of funding this is lower in the town as it has a tax base of 3,647 homes – and this is higher than the Spalding Special Expenses budget which is set at £246,418. Long Sutton Parish Council’s precept is £192,000.
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