Protecting essential services and over £2million to support residents and the most vulnerable through the cost of living crisis is at the heart of Braintree District Council’s budget for 2023/2024, which was approved at a meeting of Full Council yesterday (Monday, 20 February).
Braintree District Council has been able to set a balanced budget for 2023/24, at a time of significant instability within the UK and global economy, increased cost pressures, driven by inflation above 10%, rises in utility and fuel costs and greater demand on services.
Due to the council’s strong history of sound financial management, it has been able to offer support to the district’s most vulnerable residents using £1million of its New Homes Bonus. The funding will provide support to communities by working with partners to provide food security, helping the most vulnerable through activities of existing community groups and organisations, improving access for rural communities and enabling physical and emotional health and wellbeing. To ensure the cost-of-living funding is targeted and delivered in the most effective way, Braintree District Council will work closely with community partners on delivering a programme of support through to March 2025.
A New Homes and Growth Dividend of up to £25 will also be paid to council taxpayers who have a Council Tax liability*, providing universal support to residents impacted by the cost-of-living crisis. This will be shown as a reduction on resident’s 2023/24 council tax bill.
Over £400,000 will be invested into delivering priorities set out in the forthcoming Economic Growth and Healthy Housing strategies, taking on board feedback from residents and businesses.
In addition, further investment will be made in services including litter-picking and street cleansing of the A12, the Councillor Community Grant scheme to fund community group activities and projects across the district, and investment into sports and recreation, carbon reduction and community facilities.
Major projects to boost economic growth in Witham will continue to progress, including the new Maltings Lane Community Centre and working towards the delivery of new business units.
Unexpected extra funding from central government has meant that the previous budget proposal to reduce the funding to parish councils by 33% as part of a street cleaning agreement will be deferred by a year.
Over the last 10 years the Council has delivered £10million in savings and extras income, which it has been able to reinvest in priorities alongside meeting inflationary and other cost pressures. A further £1million has been identified to help close the budget gap for 2023/24, and where possible, the council has tried to avoid impacting key services. A budget gap of over £2million is forecast up until 2027. Given the scale of the challenge facing the council, inevitably there has had to be some difficult choices made in the budget.
With over 60% of the council’s net budget being funded from council tax, it has been agreed to increase council tax by 2.5%, an extra 9p per week based on a Band D property. This means Braintree District Council will remain one of the lowest Council tax rates in Essex and below the national district average. Additional support will be provided to those facing financial difficulties through the council’s Exceptional Hardship Fund and a new government funded Council Tax Support Fund, where those in receipt of Local Council Tax Support can get an additional discount of up to £25.
The budget proposals confirm an intention to introduce a charge for garden waste collections*, which would be significant in closing the 2024/2025 budget gap and in future years. This will be considered at a Cabinet meeting on 13 March 2023, along with car parking tariffs.
Councillor Graham Butland, Leader of Braintree District Council, said: “Every year the council faces financial pressures and challenges, but we have never before experienced the current levels. The current wider economic crisis is impacting our finances, like it is all households and businesses, but we’re fortunate that due to our strong financial management, we have been able to set aside over £2million to provide our residents with support during the cost of living crisis.
“Braintree District Council’s Council tax remains one of the lowest in Essex. The £25 refund means that, depending on their property, almost everyone will pay between 4% and 17.5% less Council tax than they are currently paying.
“We want to ensure we are balancing the need to support our residents through this difficult period, improving and investing in services for the future, and at the same time addressing the budget challenges. This budget does this and we will continue to manage our finances well to ensure valuable services can be maintained and protected.”
Councillor John McKee, Cabinet Member for Finance and Corporate Transformation at Braintree District Council, said: “Ensuring a balanced budget this year has been the toughest we’ve ever faced, with dramatic rises in inflation, whilst dealing with the cost of living crisis which has increased demand for many of our services.
“We are only able to provide vital frontline services by increasing council tax and some fees and charges and have worked incredibly hard to identify over £1million of savings to help balance the budget. If any resident is struggling to pay their Council tax, I would strongly encourage residents to get in touch about the schemes available to see where they may be eligible for financial support and other cost of living help the Council can offer.
“There is still a high degree of volatility and uncertainty as we need £2 million in savings or extra income to close the future gap, however we already have several programmes and reviews underway or which are being developed to help tackle this, so we can ensure we continue to deliver for our residents and communities.”
