Lowest ever rise in council tax confirmed

The Government has given councils unprecedented support in the last thirteen years with grant increases of 45 per cent in real terms since 1997.

This year, despite the pressures on public money, councils will get an average four per cent increase taking funding levels to £76.2bn in 2010-11, helping to protect and improve front line services.

John Denham said:

"The lowest ever increase has been made possible by a 45% real increase in government funding for local services since 1997.

"Our continued commitment will see councils receive an average 4 per cent funding increase in April – helping to protect and improve front line services.

"Councils will have some tough choices ahead as things become tighter, but that is no reason to lower their sights on delivering service quality people rightly value.

"Local people will rightly be intolerant of any council if they are told that care, libraries or youth services will be cut because they have not followed our radical reforms to protect the frontline services which matter most to people."

The Government’s efficiency drive expects councils to make every pound work harder. Councils are expected to have made savings of £3.1bn over the last two financial years – equivalent to £172 off a typical Band D bill – which they can reinvest to improve services or reduce council tax pressures on the public.

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