Why Hartlepool Borough Council has delayed final decision on 5% council tax rise

Hartlepool Borough Council is required to set its council tax level every year as part of its annual budget, which is put to the vote at a meeting of full council.

For the 2023-24 financial year, the Government now assumes councils will increase bills by 5%, which includes a rise in 3% in the core council tax plus a 2% precept for adult social care services.

At a finance and policy committee meeting this week, Hartlepool councillors deferred making a final decision until the financial picture becomes clearer around Government funding for councils.

This includes the local government finance settlement expected later this month.

Council finance officers, speaking at the meeting, said councils were in the “unenviable position” of imposing the 5% rise or making additional cuts to services.

For residents not in receipt of council tax support, such an increase would represent an annual increase of £60 for a Band A household and £90 for a Band D household.

A report prepared for councillors said the maximum rise would “help protect services and provide the most robust basis for setting the 2023-24 budget”.

Committee chair Councillor Shane Moore suggested deferring a decision on recommended council tax levels until next year, which was agreed.

A report on the suggested 5% council tax rise will return to the committee in January 2023.

Hartlepool Borough Council previously voted to increase council tax by 2.9% until the Government’s intervention.