Coins with houses:

Council Tax rise under discussion

As reported last night, Members of the Overview and Scrutiny Committee, chaired by Cllr Geoff Lumley, questioned the Island Independent’s budget proposal for a council tax freeze in 2014/15.

Cllr Lumley felt that as the council was facing a £28m budget gap over the next three years, Islanders might find it “a little odd” that council tax was going to be frozen again. He went onto add he didn’t believe the council were getting it through to Islander how bad things could be in three years time due to the cuts.

Bring to full council
Deputy leader Cllr Steve Stubbings explained that the council had only received final notification from Government of the exact figure of the cap – 1.9% – earlier in the week.

He also said the Independents would welcome other members bringing the issue to the Budget meeting on 26th February and welcomed the views of all councillors.

Leader of the council, Ian Stephens added,

“We’ve left the gates open for all members to have their say and contribute.”

Net gain of £521,000
Dave Burbage, the council’s Managing Director, later revealed that increasing the council tax by 1.9% would result in a net gain of around £521,000 for 2014/15.

Council tax benefit
Back in April 2013, around 8,500 Islanders who previously qualified for council tax benefit were required to start paying 8.5% of their council tax bill.

Under the new scheme, those residents – of working age and claiming benefits – would in the second year (2014/15) have to pay 20% of their council tax bill.

Residents of state pension qualifying age and those in receipt of Disability Living Allowance, Severe Disabled Allowance, War Widows Pension/ War Disablement Pensions/ Armed Forces Compensation and the long term rate of Incapacity Benefit were not affected by the new scheme.

Budget meeting
Members will be debating and voting on the 2014/15 budget on 26th February from 5pm. Members of the public are welcome to attend the meeting at County Hall.

Image: © Tax Brackets