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Northamptonshire to raise council tax by 5%

Northamptonshire this week published its final budget proposals for 2019/20.

The council was  given a dispensation in January this year to raise council tax by 4.99% without holding a referendum.

Northamptonshire will make use of this power, which it says will bring in an extra £5.8m a year.

To help deal with its financial crisis, the council was also allowed by the government to use £70m of capital receipts as revenue in November last year.

The council said that £35m of this would be used to plug the 2017/18 budget deficit and £20m would be used to bolster its 2019/20 reserves.

The projected out-turn for the current financial year has improved to an overspend of £1.4m, from the £28.8m reported in the July 2018 s114 Notice, and the £9.8m in the Period 8 monitoring report, dated 15 January 2019.

The decline in the forecast shortfall is partly due to £7.8m of savings assessed as delivered under the council’s Stabilisation Plan.

The budget proposals will be voted on at a cabinet meeting on 14 February.

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