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North Tyneside Council starts budget engagement process

North Tyneside Council

Published on 14 December 2022 09:49 AM

North Tyneside Council has published its initial budget proposals for 2023, with a focus on protecting the most vulnerable residents in the Borough whilst continuing to invest in all corners of North Tyneside.

The Council is proud to listen to its residents and the publication of the proposals marks the start of the annual Budget Engagement process, where all residents have the chance to have their say on the proposals.

Have your say here

The proposals outline the current budget position, which has been stretched by years of budget cuts, the continuing recovery from the Covid pandemic, rising energy costs, inflation, and the long-term impact of the war in Ukraine.

However, despite the pressures, the Council has a clear and steadfast approach to making sure anyone who needs support can access it, helping the most vulnerable communities in the Borough and continuing investment across the whole of North Tyneside.

This approach is shaped by the priorities in the Our North Tyneside plan – a thriving, secure, family-friendly, caring and green North Tyneside. 

The Council is facing a budget gap of £23.1 million for the next financial year. The final figure will not be clear until the Local Government Finance Settlement is announced in December.

Despite the challenges, the Council’s proposals do not include any substantial impact on front-line services or closures of any facilities and have increased support packages for any family impacted by the cost-of-living crisis.

This includes the continuation of the Council Tax Support programme, vouchers for children receiving Free School Meals, extending the Bread and Butter Thing, the Warm Welcome scheme and holiday activity programmes.

The Council will continue to invest in the Borough, with the continuation of the North Shields Masterplan, development of a Masterplan for Wallsend and improving the highways network so it supports sustainable, active travel.

The Council’s journey towards being a net-zero Borough by 2030 will be supported along with investment in our leisure facilities, community ventures and housing.

North Tyneside Mayor, Norma Redfearn CBE, said that despite the pressures the Council is facing it is focused on providing support to its residents,

She said, “This budget proposal does not shy away from the fact we have some tough times ahead, however it makes clear that we will continue to do everything we can to support everyone in our Borough that needs help.

“Our North Tyneside Plan has shaped every part of this budget and the proposals are underpinned by our desire to build a better North Tyneside, looking towards a brighter future, listening to and working even better for our residents.

“Our commitment to support our residents is unwavering and whilst the Government’s proposed funding does not cover the gaps that have been created in our finances over the last 10 years, we will prioritise protecting the most vulnerable families in North Tyneside whilst continuing to invest in the Borough.

“The cost-of-living crisis is impacting us all and whilst we know there is not a simple solution to providing support, we will do everything we can to protect our most vulnerable residents and to signpost everyone to the help they are entitled to.

“When allocating our funding the Government expects us to increase our Council Tax and apply the suggested Adult Social Care precept, this has once again put the financial burden, created by a lack of funding, back onto already struggling families. I would urge anyone who needs help to come to us so we can provide them with support.

“We will do everything we can to see that no family is left behind in our Borough, despite the pressures we are all facing.” 

The proposals include the impact of the Government’s historically assumed Council Tax increases, that is to

  • Apply a 1.99% increase in Council Tax
  • Apply a 1% Adult Social Care Precept to Council Tax Bills
  • Taken together these will add £35.14 to a typical Band A property and £52.72 to a typical Band D property per year

In the Autumn statement, the Chancellor announced that Councils would be able to increase the amount of Council Tax further, with the option to - 

  • Apply a 2.99% increase in Council Tax
  • Apply a 2% Adult Social Care precept to Council Tax Bills
  • Taken together these will add £58.65 to a typical Band A property and £87.98 to a typical Band D property per year

Both options are presented as questions for residents to respond to as part of the consultation, and these responses will be used to shape the Council’s final decision on the proposals.

Councillor Martin Rankin, cabinet member for Finance and Resources said,

“The Government have once again failed to address the huge financial challenges Councils are facing and the pressures on some of our most critical services such as Adult Social Care.

“Councils are not immune to financial pressures that households are experiencing and whilst there will be no direct impact to our front-line services, we are exploring areas where we can make efficiencies to help set a balanced budget.

“Once again, the Government have assumed the burden of increasing Council Tax and applying the Adult Social Care precept should be met by our residents rather than providing us with fair, adequate funding.

“We have a brilliant track record of prudent financial management, and we know we can continue to deliver high-quality services across every corner of our Borough and continue to support those who need it most.

“Nothing is set in stone with our proposals, and we are proud to be a Council that listens to our residents, businesses and communities. Every decision the Council makes is shaped by our communities and we would like to hear their thoughts and feelings on our proposals before we finalise plans in early 2023.”

North Tyneside Council is a listening Council and will kick start an engagement and consultation process with all residents, businesses and organisations invited to submit their thoughts on the proposals.

The programme of engagement will include encouraging new members of the Residents Panel, face-to-face engagement events and an online consultation.

Information on how to submit your response to the consultation can be found on the North Tyneside Council website.

The Consultation will run until 22nd January 2023.

All feedback, including responses from the consultation, will be reviewed and included in a revised budget report which will be presented to Cabinet on 30 January 2023. The report will then be referred to the full council for debate and approval on Thursday 16 February 2023.

Have your say here