Council tax is to go up by almost 5% across Liverpool but a number of painful cuts affecting some of the city's most vulnerable people have been avoided.
Liverpool Council has published its confirmed budget plans for the next financial year following receipt of a government settlement just before Christmas. As a result, the amount the city needs to save stands at £49m, a signifanct reduction from the £73m previously feared.
As part of the better than expected settlement outcome, the local authority has confirmed welfare-related budget options including the reduction or removal of the benefits maximisation team; reduction of the council tax support scheme; reducing the number of One Stop Shops and removal of council tax relief for foster carers have been avoided. However, the council has confirmed it will seek to raise Council Tax by the maximum permitted level of 4.99% when it meets on March 1.
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The proposals will be discussed by the authority’s cabinet when it meets next week and taken forward to a full city meeting at the start of next month for ratification. As a result of improvement in some assumptions made on savings, no change in funding will be made to the Liverpool Citizen Support Scheme, discretionary housing payments or the provision of funds to those with no recourse to public cash.
Mayor of Liverpool, Joanne Anderson, said: “We have been clear from the start of the budget setting process that if we were able to, we would protect welfare-related services, and I am pleased that we have been able to do so. At a time when people who are already struggling are facing rising costs, we were determined to do all we could to protect our proud record of supporting those who need our help.
“Notwithstanding this, there are still some tough options set to be taken forward, which is why we are pushing ahead with a radical transformation programme to refocus our services and make sure every pound of our spending is making a difference.” Theresa Grant, Liverpool Council interim chief executive, added: “We have been through a very intense period scrutinising the options to make sure that the final budget proposals are robust and will deliver the savings we need to make.
“This is the start of a three-year journey to putting the organisation on a sustainable financial footing for the medium and long term, with services that deliver best value and are based around the needs of residents, in the heart of the community.”
The budget proposals will be considered by the Cabinet on Friday February 24 before going to the Budget Council meeting on Wednesday March 1.
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