Middlesbrough Council Passes Budget with Investment and Tax Increase

Middlesbrough Council approved its budget at a key meeting recently. Council tax will increase by 4.99%. The budget invests in services that faced cuts for over ten years. Labour voted for the budget, while Conservatives and MICA voted against it. One independent councillor supported the budget.

Draft budget plans came out last November, allowing people to share their thoughts. The plans were updated this year, and the government provided extra funding. The Labour Executive backed the plans earlier and presented them to the full council.

Sixty-five percent of people agreed with the investment areas, according to public feedback. The council tax increase breaks down as follows: 2.99% is for normal spending, and 2% will specifically fund adult social care.

The vote almost didn’t occur. Conservative Councillor Luke Mason called it the council’s “most important” vote. He reminded the council that opposition groups can propose different budgets.

Mason wanted more time for budget review, proposing a two-week delay for democratic reasons. Mayor Chris Cooke responded, saying Councillor Nicky Walker engaged with all members, even creating a budget discussion group.

The Conservative group backed the motion and most opposition councillors followed suit. However, Labour’s majority defeated the motion.

Councillors discussed the budget before voting. Labour’s David Branson liked the plan, stating finances were much better and mentioning a 20% increase in funding. Edward Clynch supported the budget, listing increased support for homelessness and better pest control.

MICA’s Ian Morrish described the budget as a “money grab,” arguing that residents wouldn’t support higher costs, especially for worse council services.

Morrish noted Labour’s prior election promise of no council tax increase. He referenced Keir Starmer’s 2023 announcement of a council tax freeze if Labour gained power, adding Rachel Reeves didn’t confirm a freeze later.

Mayor Cooke stated each percent raises £700,000, allowing the council to invest over £6 million into frontline services. He noted that tax previously went up alongside service cuts.

Morrish talked about council tax rates, highlighting that Middlesbrough has high rates. He pointed out a Band D house pays £2,370 yearly, while Westminster and Wandsworth pay under £1,000.

Mayor Cooke thinks tax hurts the North. He hopes multi-year settlements will help address the high rates.

Conservative Mieka Smiles agreed with Morrish and mentioned high staff pay levels. Smiles also questioned consultant spending.

Mayor Cooke responded by saying they hire psychologists and solicitors for advice. They only hire consultants when necessary.

Conservative David Coupe mentioned his ward’s streets, which volunteers usually cleaned. With them leaving, he asked for council help.

Mayor Cooke said funding increased by 20%. Teams will proactively spot and fix issues, and neighborhood caretakers will handle this. He appreciated the volunteers’ work previously, adding now the council will step up.

The vote was largely along party lines. Twenty-four voted in favor, including all Labour members present and Councillor Jackie Young. Fourteen voted against the budget, one councillor chose to abstain, and eight councillors did not attend.

The council recorded the votes of each member.

These members voted “yes”.

These members voted “no.”

Tom Livingstone abstained from the vote.

These members did not attend the vote.