Dudley Council tax set to rise four per cent
Cash strapped Dudley Council is set to raise council tax by nearly four per cent for the next three years in succession.
The authority has revealed plans to increase its share of council tax by 1.99 per cent and take up a Government offer to increase it by a further two per cent for adult social care.
This works out to be an extra 77p per week or £40.04p per year for people living in Band C properties.
Council bosses said that the borough's residents would continue to pay the lowest council tax rates in the region despite a proposed increase in rates for the first time in six years.
Council leader Pete Lowe said: "Staff at the authority had been working tirelessly to close a gap in funding."
The latest budget proposals will see the black hole in the council finances slashed from £50million to just under £21m.
However, council chiefs admitted there is still a huge challenge ahead to balance the books in the coming years.
Councillor Lowe added: "We have worked relentlessly and left no stone unturned in a bid to plug the funding gap we have faced due to Government funding.
"We have reviewed our initial budget proposals and we are pleased to have made such good progress."
As part of its medium term financial strategy to 2108/19, council tax will rise annually by 3.99 per cent which is the maximum permitted.
Councillor Lowe said even if Dudley Council raised its council tax by that amount and other authorities didn't raise their council tax levels the authority would still be 'in the Champions League' due to the low levels of council tax currently paid by residents.
In the budget report savings of £8m are proposed for 2016/17 moving up to £18m by 2017/18 and £20m by 2018/19.
The report forecasts there will still be a deficit of £23m by 2019/20 if additional savings are not found.
Care for the elderly in Dudley will be prioritised as part of the proposals according to finance boss Councillor David Sparks.
He said: "Due to an ageing population and reduced funding, adult social care, budget pressures are huge across the whole country and this precept will help to meet the needs of some of the most vulnerable people in our community."
The proposals will go before cabinet when it meets on January 18.
