District councils are being “starved of cash” as they have only been allowed to increase council tax by 3%, whilst other types of authorities have been able to raise their bills by a higher amount, according to a new analysis.
A District Councils’ Network (DCN) survey has revealed that 77% of district councils are set to increase council tax by the maximum amount for 2023/24, with the average increase in their bills being 2.6% (£5.14 a year).
Whereas average increases for county councils and police and crime commissioners (PCCs) are 4.7% (£69.20) and 5.7% (£14.64) respectively.
Also, for 89% of district councils that responded to the survey, the size of their precept has been overtaken by that of the PCCs.
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DCN finance spokesman Peter Fleming said: “While county councils, the police and parish councils were permitted to increase their portions of bills by a far higher percentage than district councils, our universal services are being starved of cash, with a below-inflation cap on any increase, damaging our communities and our ability to steer are places through these difficult times.”
The DCN stated that the survey’s findings raise questions about the resources available to provide universal local services, which include waste collection, leisure and environmental services, all overseen by district councils.
The survey also revealed that 47% of district councils’ income from sales, fees and charges remains well below pre-Covid-19 levels.
“We are calling for extra financial freedom to compensate for our loss of revenue since the pandemic and to equip us to take the measures demanded by our communities,” Fleming added.
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