Council tax payers in Darlington have been warned of rising rates due to the significant financial pressures the authority continues to face.

Plans discussed by the council’s cabinet this week could see residents’ council tax bills put up by 4.99 per cent as families continue to struggle with the cost-of-living crisis.

Residents would see a tax increase of 2.99 per cent plus a two per cent adult social care precept to help fund social care for 2023/24.

The council’s leader, Jonathan Dulston, said the rise was ‘not an easy decision’ but insisted it was much needed to protect key services.

Read more: Darlington Council planning 5% council tax increase for 2023/24

“The financial pressures of the council have been considerable over the last few years, in the aftermath of Covid,” he told a cabinet meeting on Tuesday.

 “The current economic climate presents new and significant financial challenges, with unprecedented levels of pressures unfolding in relation to increased demand for social care, inflation, interest rates, and energy costs rises.

“Nevertheless, with good leadership, financial acumen, and governance, the council has been successful in responding to the challenges faced and weathering the storm well.

“We are committed in protecting our most vulnerable people, which is why two-thirds of our budget is spent on social care.”

'This is not an easy decision' 

 

Cllr Dulston said the tax and precept increases will ensure the authority can continue to provide vital core services.

He added: “This is not an easy decision, and I know the pressure our households are facing, but we have the second-most council tax in the North East and these rises are still under inflation rises, [they] are necessary to continue to provide vital core services to our most vulnerable.

“It would have been easy for me to sit here today and not propose a council tax increase pre-election year, that would be the easiest thing to do, but it wouldn’t have been right and it would have been disingenuous to the people of this town.”

The council became the first in the region planning to use new powers given to them by Chancellor Jeremy Hunt’s in his Autumn Statement that allow local authorities to increase council tax by up to 5 per cent without having to hold a vote among residents.7

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'A really, really difficult situation'

 

Cllr Stephen Harker, leader of Darlington Labour group, recognises the council’s struggles and need to increase taxes but lays the blame at the government’s door, warning that Darlington Council could soon be faced with the “stark” situation of making more cuts.

He told the meeting: “We are in a really, really difficult situation. It’s hard not to over-stress the difficult circumstances we’re facing. The budget-makers are telling us we’re spending over £10 million more every single year than we receive in income, clearly that is unsustainable.”

Councillors agreed to commence a public consultation on the proposed increase and Medium Term Financial Plan, with a vote due to take place in February in front of full council if passed by cabinet.