‘Payments go up while service provision goes down’: Proposal to hike council tax branded ‘outrageous’

Nicholas Thomas Local Democracy Reporter

Plans to increase council tax bills have come under fire from critics who say a city’s residents can “ill afford” to pay more for reduced services.

Cllr Matthew Evans, who leads the Conservative opposition in Newport’s council chamber, called a proposed 6.7% tax increase “outrageous” and said local authority decision-makers “need to get their priorities right”.

The council, which receives less than a quarter of its income from council tax, accepted the proposed increase was a “very substantial bill for residents, despite Newport maintaining one of the lowest rates in Wales for many years”.

It also argues most residents’ properties sit in the lowest council tax bandings, and will be liable to pay between £1.29 and £1.72 more a week, if bills rise as proposed.

Budget gap

Cllr Evans said the council “sounds like double-glazing salesmen, saying it is only a few extra pounds a week – the reality it’s another £100 a year for a standard Band D property, which residents can ill afford”.

Newport City Council has also proposed various cuts and savings measures in a bid to plug an estimated £4.3 million budget gap.

But Cllr Evans said residents were “fed up of seeing payments go up while service provision goes down, from bin collections to streetlights – they even want to reduce libraries”.

Caerleon and Tredegar House libraries could shut down, and services “consolidated” into four sites across the city, according to council proposals published this week.

Cllr Dimitri Batrouni, who leads the city council, acknowledged the authority would “have to make some tough decisions to ensure we deliver a balanced budget”, but noted the proposals would also “invest in our essential services”, with more money for schools, housing, children’s care and additional learning needs.

Other groups in the council chamber have also had their say on the proposals.

Concern

Speaking on behalf of the Lliswerry ward’s independents, Cllr Mark Howells said the proposed 6.7% council tax hike was higher than current inflation rates and follows two years of 8.5% rises “in the face of the cost of living crisis”.

“We are deeply concerned for residents and encourage them to fully engage in the consultation process and make their voices heard,” he added. “The Lliswerry Independent Group will be working hard with council officers during this time to explore what alternatives might be available that would achieve a rise closer to inflation and a balanced budget.”

Liberal Democrat councillor Carmel Townsend criticised the proposals for another council tax rise.

“I am getting more complaints about the state of the town, with one resident telling me ‘Newport is rotting away,’” she said. “It is hard to justify these council tax increases where residents see no benefit or value for money, and are paying more council tax than in Cardiff or Caerphilly.

“Newport Council really needs to start again, especially after years of massive council tax increases and the best financial settlements from the Welsh Government.”

Cllr Kevin Whitehead, one of the independents representing Bettws, was more conciliatory and said he was “always sympathetic when local authorities have to set budgets in financially challenging times – it’s all too easy to be critical when in opposition with no fiscal responsibility”.

He said he would wait until a residents’ meeting before forming an opinion on the budget saving measures, but “history would suggest” the proposed 6.7% hike in council tax could come down by the time of the final proposals in March.

“That said, I think the most vulnerable in society should feel the least impact possible when deciding necessary cuts,” he added.