Shropshire Council considers 5% council tax rise

Shropshire Council Gwilym ButlerShropshire Council
Councillor Gwilym Butler said a 5% increase would be less than half the national inflation rate of 10.1%

Council tax could rise by almost 5% in Shropshire in a bid to address £11m of inflationary pressures.

Councillor Gwilym Butler, cabinet member for finance, said the proposal was likely to be put forward in the coming weeks.

The government's Autumn Statement permitted local authorities to increase tax by up to 5% without a referendum if they provide social care.

Councillor Butler said the council had been hit hard by inflation this year.

The Conservative councillor told BBC Radio Shropshire the rise would be "basically 1% extra" on last year's increase of 3.99%.

"The decision hasn't been made, but 1% on council tax is another £1.8m on my budget," he said. "It will help the council in future years, but more importantly, it will help deliver the services."

Councillor Butler said officers were working to bring the budget for the next financial year forward in December, with a gap of more than £20m to fund.

Shropshire Council
Shropshire Council raised council tax by almost 4% last year

"That extra 1% on council tax is only less than 10% of that £20m," he said. "It is a question for me is. Do I have to cut further services or do I think the people of Shropshire would actually like me to get a balance?"

The Office for Budget Responsibility estimated a 5% council tax increase could increase an average Band D bill by about £250 by 2027-28.

Shropshire Council's increase last year added an extra £1.11 to the average bill of homeowners in band D properties.

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