Members of Westmorland and Furness Council have just voted to agree the council’s budget for the next year and have voted to approve the council tax increase that will see residents facing an increase of 4.99% for Westmorland and Furness Council share of the council tax plus an increase of the precepts by police and fire.
A named vote on the setting of the increased council tax resulted in 49 voting for the increase voting against and 9 abstaining from voting.
The Council tax bill from April for households in the Penrith Town Council parish area covering the 2025/26 council tax bill made up of Westmorland and Furness Council, Cumbria Police, Cumbria Fire and Rescue and Penrith Town Council precepts will be.
Band A £ 1,616.71
Band B £ 1,886.18
Band C £ 2,155.63
Band D £ 2,425.08
Band E £ 2,963.98
Band F £ 3,502.89
Band G £ 4,041.79
Band H £ 4,850.16
The budget proposal for Westmorland & Furness Council was rejected as lacking ambition and a sense of leadership by the Conservative group, who voted against the budget but abstained from voting on the council tax setting.
Cllr Hilary Carrick, Leader of the Conservative Group, in responding to Cllr Jarvis who proposed the budget, accused him of not listening to residents, saying: “In response to the legally required consultation launched last December, 356 responses were received to the three price increases proposed. Respondents were overwhelmingly opposed.
“Disappointingly, the council has completely disregarded the feedback and stuck doggedly to its original proposal, on the basis that the increases were necessary to ensure the continued delivery of council services. This makes a complete mockery of the consultation process and also the claim that this council places its customers at the heart of everything it does.
“The intensive transformation programme needed right at the start of this new authority was not delivered due to capacity issues, the inheritance of a range of disparate and uncommunicative IT systems and a complete underestimate of the complexity of the job in hand.
“This new authority has been riddled with the conflicting and contradictory priorities competing for the scarce resources available. This has hampered its ability to bring about the harmonisation of many of its key services.
“It is essential the budget is sufficiently robust to fund an effective transformation programme to bring about the efficiencies we so desperately need, while supporting good quality, good value services and mitigating against financial uncertainty.
“The financial landscape for local authorities is becoming increasingly challenging as are this council’s options for bringing about the changes needed. The use of reserves and one off savings to approximate for the actions that have not been taken, also make the council potentially more vulnerable to unexpected reductions in government funding.
“Only last month the local government ministers have abolished nearly £200m of funding for the provision of services in rural areas, such as ours, and redirected this much needed resource to urban areas, leaving Westmorland & Furness with an unexpected £6.7m pressure.
“This budget is undoubtedly financially competent, but is it the budget of a juvenile council that is standing on its own two feet in record time? No, it is the budget of a precocious infant authority that is trying to run before it can walk.”
Councillor Anne Burns Labour councillor for Old Barrow and Hindpool, said: “It’s very difficult trying to do a budget to make sure you’ve got everything covered.
“As a Labour Group we’ve gone through it, and there’s things we would want to tweak and there are things we would want to put in it, but at the end of the day we understand the very difficult position local government finance is in.”
A report prepared for the council on the budget proposals says the authority has identified £10.95 million in savings for the upcoming financial year but stresses there will be no reduction to frontline services.
Through the council tax rise, the authority hopes to raise £184.52 million which results in a band D council tax of £1,918.97. This is an increase of £91.71 on the previous year.
The report adds: “Like all local authorities, the council has significant budget pressures that are not funded from Central Government.
“This means that efficiencies, savings, and different delivery approaches are required to balance the budget and enable investment in priority areas but also because council tax income is the most significant source of funding then the proposed increases are the only mechanism to enable the council to continue to deliver and improve its essential services.”
Cllr Andrew Jarvis, Westmorland and Furness Council’s Deputy Leader and Cabinet Member for Finance, said:
“As everyone knows it is still a very tough financial climate out there and many people and families remain affected by the cost of living crisis. Since Westmorland and Furness Council was created, we have worked hard to be in a position to deliver a balanced budget at the same time as increasing investment in our services and communities. We know that to be ready for the future we must change and transform and we know we can’t do this alone. We must continue to work together with our partners and communities so that together we can all make a real difference, safeguarding essential services and driving forward positive change at a much quicker pace.
“Overall, considering the national picture and the proposed national changes to funding for local government for 2025/26, our budget is in reasonable shape. We will continue to ensure our voice is heard in respect of ensuring that the higher costs incurred in delivering rural services is reflected fairly in any future funding mechanism.
“We know that our income levels and budget choices directly affect our residents as Council Tax is our main source of income. I appreciate that the decisions taken by Full Council will not be welcomed by everyone. However, I must stress that it is a legal requirement to deliver a balanced budget and as a result of prudent financial management we have achieved that. I also want to remind residents that we also have a Council Tax Reduction Scheme which is one of the most generous in the country meaning that we can support the most vulnerable and those most in need.”
“As well as ensuring we are financially sustainable, we are also committing to invest £5 million from the second homes premium for the benefit of those communities most affected and wider delivery of our council priorities. Additionally the budget includes £150 million through an ambitious capital programme for 2025/26. Together we believe this budget will make a real difference to people’s lives and to our communities.”
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