Near 5% rise in Hartlepool council tax bills and fireworks display axe may both step closer at crucial meeting

Hartlepool Borough Council bosses had previously drawn up £2.954million of savings to help tackle an estimated £13.144million deficit forecast for the 2025-26 financial year beginning April.

Proposals include axing the council’s £75,000 events budget, which funds the likes of November’s public fireworks show, and the town’s Christmas lights switch-on event.

Other savings initiatives would see council Christmas trees no longer being placed in Seaton and the Headland, leaving only one in the town centre.

Elsewhere, remaining local authority car parking promotions would be removed, including free town centre parking on Sundays, and council childcare service Oscar’s would be closed.

A report has been drawn up by council officers to go before the next finance and policy committee meeting.

It recommends councillors support moving forward with the savings proposals.

Finance chiefs are also recommending the local authority increase council tax by 4.99%, made up of a 2.99% increase in core council tax and 2% for the adult social care precept, which is “in line with the Government assumptions”.

This would generate “additional ongoing revenue of £2.625million” and is the maximum increase allowed under the Government’s referendum limit.

This leaves a £1.5million budget gap for 2025-26 which would be met through the use of one-off reserves, with the report from finance officers noting “it would not be robust to utilise reserves at a higher level”.

If supported at the meeting, which takes place on Monday, January 20, the proposals would then go before full council on February 20 for a final decision.

The report from James Magog, council director of finance, IT and digital, notes there is a “significant” £9.832million net increase in 2025-26 grant resources provided for Hartlepool through the provisional local government finance settlement.

However it states the council did have an estimated £4.065million deficit for 2025-26 prior to the announcement, which was “anticipated to be met from grant increases”, while budget pressures for the year have increased by £4.249million since the November update.

The report adds: “The significant budget gap for 2025-26 and also over the medium term period clearly demonstrates the need to utilise the full council tax increase allowable of 4.99%.”