Derbyshire: Council tax rise of 4.99% approved by councillors

Derbyshire County Council has approved a 4.99% council tax rise.

Councillors voted through the proposal at a meeting at County Hall in Matlock on Wednesday.

The council said there was a forecasted overspend of £34.1 million by the end of the current financial year.

Council leader councillor Barry Lewis says the financial challenges are "far greater than experienced before" and that "tough decisions lie ahead" for the authority.

As part of the tax increase, 2% is ringfenced for adult social care.

Adults and children's social care make up a large amount of the deficit at about £27m, a council report shows.

In November, the council denied it was in a "bankruptcy situation" despite facing a £34m budget black hole even after imposing strict spending curbs in September.

There is also a predicted funding gap of about £40m for the 2024-2025 financial year.

The council's leadership said "all efforts were being made" to protect vital services, especially social care for adults and children.

They previously welcomed £7.6m from government for social care but added this was "not enough" to cover "spiralling costs and rising demand".

Mr Lewis said: "The challenges we continue to face are far greater than experienced before and are down to external factors simply outside our control.

"We believe the budget and council tax we have agreed will help us to protect vital services for older and vulnerable people and children which is a priority, but we acknowledge the rise in council tax will not be welcomed by residents with already stretched household budgets.

"We will continue to lobby government for extra funding following success on this in recent weeks and will continue with our call for the significant costs of placements for children in care to be addressed."

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