Cheshire East Council’s bid to increase council tax by almost 10% has been rejected by the government, it emerged today.
The cash-strapped authority had asked the government for “exceptional financial support” and permission to increase the charge by 9.99%.
This is 5% more than the maximum local authorities can usually increase council tax by without holding a local referendum.
We have contacted Cheshire East for a statement.
According to BBC, Cheshire East Council confirmed its financial request had been “declined” and it would “update financial plans as necessary”.
Last month, the authority said it was important to “explore every option to improve financial stability” and that its request did “not commit the council to raising council tax”.
Deputy Prime Minister Angela Rayner announced that the Government has allowed just six local councils to have “small” increases above the 4.99% maximum.
These are Birmingham City Council, Bradford Council, Newham Council, Windsor and Maidenhead Borough Council, Somerset Council and Trafford Council.
Ms Rayner said there had been a record number of councils asking for additional council tax increases.
She added: “These are difficult decisions that government has not taken lightly.
“We recognise the importance of limited increases in helping to prevent these councils falling further into financial distress – but we have been clear this must be balanced with the interests of taxpayers.
“We have agreed to a limited number of requests and in all cases have not agreed to the full amount requested.
“Where we have agreed, it is only for councils with amongst the lowest levels of council tax, and where we expect, even after these increases, residents will still be paying less than the average compared with similar councils.
“At a national level, even with these increases, the overall increase in council tax is not expected to exceed last year’s.
“Following confirmation of these referendum principles, it will be for individual councils to take final decisions on setting council tax in their areas, having reached agreement locally that the increases are necessary to the council’s financial recovery.
“I have been clear to all councils that they should take whatever steps locally they consider will help to protect the most vulnerable residents from the impact of any additional increase.”
Cheshire East Council is set to approve its 2025-26 budget on February 26th.
Common Sense at last. It is time for a complete re-organisation of Cheshire East, including a stop to the very wasteful projects that have prevailed. Like the multi-storey car park amongst several others. It is time that Councillors accepted they have a responsibility to the Council Tax Payer. I hope at the next election many councillors are punished by the electorate. Enough is Enough. These individuals should be held accountable and barred from seeking re- election.