Our reserves are practically gone, Shropshire council leader says

BBC Shropshire CouncilBBC
Plans to increase council tax by the maximum 5% will be discussed at a meeting on Thursday

The leader of Shropshire Council has said the local authority has "no option" but to increase council tax.

Councillors will discuss the budget and council tax at a meeting on Thursday but Conservative leader Lezley Picton said without the increase, the authority would "be really struggling".

She said inflation and increased demand for services had affected its finances and reserves were "practically gone".

The council plans to increase the tax by the maximum 5%.

"Everyone is suffering from rising costs and the council is no different," Ms Picton said.

"We're suffering not just from inflation but we're also suffering from significant rising demand for our services, particularly adult social care and children's services, so without putting that council tax up by the 4.99% we would be really struggling."

Lezley Picton
Council leader Lezley Picton says she did not want to increase the tax but has "no option"

Millions of households in England are facing the maximum rise in council tax in April, which for an average Band D property would mean paying almost £100 more across the year.

"Shropshire is a very large, rural, sparsely-populated county," Ms Picton said. "It costs us more to deliver services.

"From Shropshire Council's point of view, I don't want to put council tax up, no Conservative leader wants to put council tax up, but we simply do not have any option."

It is already facing a £10m overspend and when asked about council reserves, the council leader said they were "practically gone" but the authority hoped to rebuild the finances over the next year.

"One of the aims this year, if we can work differently, get those costs down, is actually trying to put some money back into reserves," she said.

"I'm well aware there are some councils that have significant reserves, sadly Shropshire Council is not one of them."

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