Maximum council tax rise and savings plan approved

A COUNCIL tax rise in Newcastle and plans to slash Civic Centre spending by £37m have been approved.

- By DANIEL HOLLAND

Independent councillor Marc Donnelly

Councillors voted through a 4.99% increase in council tax for city households from this April on Wednesday night, the maximum uplift allowed without a referendum needing to be held.

Newcastle City Council’s plans will also see it cut 75 jobs over the next 12 months as it seeks to “streamline” public services. The budget proposals were formally signed off after the city's minority Labour administration accepted amendments from the Green Party, giving them enough votes in the council chamber to pass the spending plans.

A plea from independent councillor Marc Donnelly to limit the council tax rise to 3.15% was rejected, as were Liberal Democrat calls to bring forward extra spending on housing repairs, roads, parks, and play areas.

Labour council leader Karen Kilgour said her party, whose leadership of the authority is under threat at May’s local elections, was “serious about living within our means while protecting the most vulnerable” and talked up promises to invest £50m in improving the city’s roads and build 15,000 new homes over the coming years.

She said that the 4.99% council tax increase, which includes a 2% adult social care precept, was not a decision taken lightly but that without it the council would be “forced to make cuts to frontline services”.