Council approves tax rise after warning of finances spiraling. Band D residents to pay £7.09 more annually.
Band D homeowners will pay £7.09 more. This makes the local charge £244.07, the highest in Derbyshire. The council faces a £1.1 million shortfall and will use reserves to cover it this year. That shortfall could reach £3.9 million by 2028.
Karen Henriksen spoke about local government changes, saying these will have some impact. Henriksen could not predict the changes precisely but is concerned about the council’s finances. The government favors funding for deprived city areas and has already cut rural services funding.
The council has £2.5 million in its main reserve fund and £15 million total in reserves. This money is for projects, like new bin lorries. Steve Flitter said the finances were getting out of hand. He said they need every penny they can get and that the tax rise is “very fair.”
Some councils sought approval for 10% increases, but he wants to provide good services to citizens affordably. Flitter stressed being efficient for future needs. David Burton questioned keeping reserves if ending operations. He asked why not spend those funds now, worrying about giving away money when it should go to local communities now.
The government plans to reorganize local governments. Derbyshire Dales council may merge with others to save money and cut bureaucracy. The district may be abolished by March 31, 2028.
Nick Wilton said some money must remain to help any future authority. Wilton wants to keep something for Derbyshire’s people. Gareth Gee called the reorganisation a “fiasco,” saying it will not save money. He added that his group wants local representation and for the council to last until 2030.
Steve Wain wants to maintain community output and doesn’t want to give too much to other councils. Wain does not find it fair to give millions away, saying deprivation exists both in cities and their communities. Sue Hobson said it is a time to have an impact on lots of people facing economic difficulty.
Most council tax goes to Derbyshire County Council, and some goes to districts, police, and fire services. Some also goes to town and parish councils. The average Band D bill this year totals around £2,200.