Cherwell discusses district budget plan

Published on 11/01/2013 12:00

A DRAFT budget proposal was discussed by Cherwell district councillors on Monday.

A final version will be presented to the council at the end of the month after councillors discussed ways to combat savings after central government funding to the council was cut by five per cent.

Councillor Ken Atack, lead member for financial management, said: “This will be the first of two opportunities to review the budget ahead of our meeting at the end of the month.

“The important thing to know is that we have a reduction in grant funding, showing a deficit of about £230,000.

“With this draft we will be able to see what is intended to be done, and there are several options available to us.”

Government support has fallen from about £7.6m per year to £7.2m.

The council has also had its funding for council tax benefits, known as the council tax reduction scheme, cut by ten per cent.

A report said: “There is an analysis that shows a large correlation between those households likely to be impacted by welfare reform and those hit by the council tax reduction scheme.”

The draft proposal also pledged to support residents in Cherwell by opting to freeze council tax for the next financial year. Residents will start paying their 2013/14 council tax from April, with the Cherwell element of the bill accounting for around ten per cent of the total.

Mr Atack said: “We are seeing different funding options available to councils at the moment, and we will have to see what that means to us.

“There will be more people poverty stricken and homeless in the district, and we need to be ready to operate a model to support those who have difficulties in that area.”

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Cherwell discusses district budget plan

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