Kensington and Chelsea aims for savings with the UK’s lowest council tax rise, while facing budget pressures and some service cuts.
The council plans a 4 percent council tax hike, supposedly one of the lowest in the UK. Fifteen thousand low-income homes get £50, while Band D property tax rises £41.50 yearly. The total yearly tax is £1,079.08, which is less than £1 per week increase.
They need to plug a £40m budget gap. RBKC plans savings measures now.
The environment suffers £5.8m in cuts. Parking and enforcement income use widens by £2.8m, and traffic enforcement gains £1m. Resources lose £4m, and children’s services get £3m less, as does adult social care and health.
Last year, the shortfall hit £19.8m. By 2028, it may reach £40m.
Average rent will rise about £4.68 weekly, bringing it to £155.18. Five-bedroom rents rise £5.92 per week, bringing them to £225.05. One-bed flats rise £3.66 to £139.23. Wandsworth council has frozen its tax.
Wandsworth’s tax rises 2 percent in April, covering social care costs. The increase is below the allowed maximum, and Band D households see a £29 increase, bringing the tax to £990. Sadiq Khan’s share rises £19 as well, helping fund police, fire services, and transport.
Kensington’s increase is above inflation. Caretaking charges rise 6.8 percent, allowing for worker pay increases.
The council says its rent hike is normal. Service charges change year by year and depend on spending plans.
Service costs are affected by many things, including material cost, fuel and wages. Estate issues can influence costs as well.
The council faces £14.5m in budget pressure. Temporary housing costs £5.3m.
Other services need £5.6m growth funding. Inflation adds £3.8m to social care, and pay awards need £2.5m. Free school meals exist outside term, and low-income tax aid stays.
The council plans housing investment, as well as investment for schools plus roads and parks. The total is £195.6 million, with housing estate investment amounting to £350.1 million over three years.
Daily services cost £677 million. These include bins plus enforcement, and service enhancements, such as social care, increase budget stress. Temporary accommodation will cost more.