H&F Council Proposes 2.7% Rise in Council Tax in 2019

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Saying it has been 'forced' to plan increase after freezing tax in previous years

Hammersmith & Fulham Council says it is being forced to propose a 2.7% increase in council tax bills in the coming financial year.

Over the last four years, the council declared it was the only one in London to have cut and then frozen the tax. However, from April 2019, it says continued government austerity and rising demand for services has forced it to propose an inflation-level increase in council tax bills of 2.7% - which works out to £19.65 for a typical Band D property.

However, the council says even with this rise, it remains the third lowest tax in the country.

The current H&F Band D charge of £727.81 is half the London average of £1,405, and over £1,000 lower than the shire areas average of £1,749 according to government statistics.

The council tax proposals are part of Hammersmith & Fulham Council's newly published budget proposals for 2019/20, which include more funding for social care and services to tackle violent crime.

The council says it is the only authority in the country to have abolished all charges for home care for elderly and disabled people. The new budget continues that no charge commitment and provides for £10.8million additional spending, much of that for social care for children, elderly and disabled people.

In previous years, the council says it has stepped in to stop the government's social care levy being applied in H&F, but in 2019 it will apply for the first time ever to meet the growing cost of looking after older and disabled people in the borough. However, at 2% it will be only a quarter of the amount modelled by Government.

In the tenth year of government-imposed austerity, H&F Council will get £3.5m less this year from the government. It says that's a £73m reduction in ten years – a 59% reduction in real terms.

The council will take its formal decision on 27 February on its 2019/20 proposals to:

accept central government’s ‘adult social care precept’ levy applied at 2% (the government has assumed an 8% levy when they model how much funding councils need)
increase the Hammersmith & Fulham element of the council tax by 2.7% – in line with inflation
set a total net expenditure budget of £136.678m
add growth of £10.8m to meet statutory obligations, rising prices and growing demand for services
make savings of £10.3m to balance the 2019/20 budget.

" Ruthless financial efficiency has enabled us to freeze or cut council tax every year for the last four years – the only council in London to achieve this,” says council Leader, Cllr Stephen Cowan. "To make that possible, we’ve stripped out layers of historic waste and inefficiency and overhauled every aspect of the way the council works.

"But the scale of government cuts means we can no longer continue to resist government pressure to increase council tax.

" No-one wants to pay more, but neither do they want to see services undermined by government underfunding. Decent social care for our children and for our older and disabled people is particularly important to the residents of our borough. It’s not a decision we take lightly, but we’ve concluded most local residents would rather we increase bills under these circumstances.

"We’re a compassionate council first and foremost, and to continue to do the best for all our residents, we’re renewing our pledge to get the most out of every penny we spend – despite the disastrous funding position the government has foisted on councils across the country."

You can read the budget proposals in full here and find out more about council tax here.

 

January 21, 2019