Plans to provide continued support to local residents and businesses in the face of ongoing financial pressures will be set out by the region’s largest council next week.
Savings
Durham County Council needs to make further forecasted savings of £35.3 million over the next four years in addition to the £224 million it will have achieved during the period 2011/12 to 2018/19.
The figures are included in the latest update to the authority’s medium term Financial Plan, which outlines its long-term funding outlook and spending priorities.
The plan, which will be presented to the authority’s Cabinet on Wednesday, 11 July, also provides details of a number of schemes the council is planning to continue in order to ease the burden of spending cuts on residents and businesses in County Durham.
The authority is proposing to continue its Local Council Tax Reduction Scheme, which for the past six years has offered eligible residents a discount of up to 100 per cent on their council tax charge.
The council is one of only two in the north east and just a handful nationally to have maintained the scheme in line with the old council tax benefit system despite funding being reduced. More than 58,000 residents in the county currently benefit from this support.
Last year, the council introduced a policy which made care leavers living independently up to the age of 25 exempt from paying council tax. Under the initiative care leavers living with a member of their extended family or another adult who lives on their own are also eligible for a 50 per cent council tax reduction.
Cabinet members are being asked to agree to the continuation of the scheme in 2019/20.
Continued Support
The authority is also continuing to offer support to small and medium-sized businesses which faced the steepest increase in charges following the government’s revaluation of their properties in April 2017 through an initiative introduced last year which is currently assisting more than 450 businesses around the county.
Cllr Simon Henig, Leader of Durham County Council, said: “With government funding reductions confirmed as continuing for the foreseeable future, the budget pressures on the council are significant and will remain so for some time to come.
“We remain committed to minimising the impact on frontline services and on the local community.
“As the reductions continue, this becomes ever more difficult but I am pleased that we are still able to operate a number of schemes which we have already been successful in lessening the impact of austerity on residents and businesses in the county.”
Precarious planning
Cllr Alan Napier, Deputy Leader of Durham County Council and Cabinet member for resources, said: “Since 2010 we have made savings of £224 million to balance our budget. However, there is so much uncertainty around the funding that will be made available to local government in the future that planning is now more difficult than ever.
“We are lobbying the government to ensure that the outcomes from the fair funding review, which is due to be implemented from 1 April 2020, take full account of the costs of providing services in more deprived areas as well as the ability of local people to pay for those services.
“More and more we are seeing councils across the country experiencing difficulties when trying to set a balanced budget. Our approach to medium term financial planning has so far allowed us to protect front line services as far as possible but Government has to recognise the impact austerity will have on our local communities if measures are not taken to ensure local government is appropriately funded.”
The council is currently drawing up plans to consult with the public later in the year on its proposed approach to making savings during 2019/20.
South West Durham News covering news across County Durham.
