Council proposes to increase tax by fraction under maximum allowed

HOUSEHOLDS across Torbay will not be asked to pay the maximum possible increase in their council tax next year as the local authority lets them off by a fraction of a per cent.

- by GUY HENDERSON Local Democracy Reporter [e-mail]

But opposition councillors say that by keeping the increase below the maximum allowed by the Government for the third year in succession, the Conservative administration is missing an opportunity to help some of the bay's most hard-up families.

Opposition leader Councillor Swithin Long said the difference between the maximum possible 4.99% rise and Torbay's proposed 4.75% increase would mean just pennies for taxpayers.

But across the bay it would mean the council missing out on hundreds of thousands of pounds in lost revenue which could be put to good use.

Each 1% increase in council tax generates around £950,000 of income, meaning the council would miss out on around £235,000.

But council leader David Thomas said it was a prudent budget which delivered on the promises the council had made.

The exact budget still depends on the Government's decision on how much it will give local councils to spend next year, a figure not due to be announced until later this month.