Harborough District Council agrees council tax freeze

Harborough District council has agreed to freeze its portion of council tax for the next financial year.

The proposal was agreed at a budget meeting yesterday (Monday).

The decision, which aims to support residents through the cost-of-living crisis, means the yearly payment will continue to stay at around £178 for an average Band D property.

Earlier in the month, the council had considered raising its portion by three per cent – equating to £183 for an average property. But, following further discussion between Cabinet and full council on the 2023/24 Budget and Medium-Term Financial Strategy (2024/25 to 2027/28), the significant proposal was made.

The district council said it forecasted a surplus revenue budget for the first two years of the Medium-Term Financial Strategy, allowing it to freeze council tax. This is thanks to service budget reviews generating net savings of £975,000 for 2023/24, a ‘good settlement’ from government and additional business rates income from Magna Park near Lutterworth.

For subsequent years the council is proposing an increase of 2.99 per cent per annum.

The council tax bill contributes to public services and includes precepts from Leicestershire County Council, police and crime commissioner, Harborough District Council, Leicestershire Fire and Rescue and parish councils.

Meanwhile Leicestershire County Council is set to raise its portion by nearly five per cent to balance its books.

The authority said not raising council tax – which will include a two per cent adult social care levy - would 'drastically reduce money available for frontline services'.