Published at 16:49, Friday, 11 January 2013

RESIDENTS already facing an increased tax bill have been told they will not be hit with another hike.

COUNCILLOR PHIL LISTER

Changes to council tax left Ulverston Town Council facing a shortfall of £1,500 in its precepts but councillors decided the taxpayer will not be forced to make up the difference.

Councillors attracted criticism in December when they announced plans to raise Ulverston’s precept by 9.7 per cent – and vowed not to do it again.

Councillor Phil Lister said the council was not prepared to take the unpopular decision to raise taxes any further.

He said: “We have set the budget, we have had the publicity and we have no intention of raising the precept.”

Following the decision to hire a full-time town clerk to replace David Parratt, who steps down from his part-time role in February, councillors acknowledged the need to find more money.

The decision was taken to raise the precept from £33.95 to £37.27 a year at last month’s meeting.

But since then, government changes to the way council tax benefits are administered left the council facing a drop in income.

Mr Parratt, the outgoing clerk, said the council had been surprised by the government’s decision but had no choice but to make the best of it.

Cllr Lister said: “We thought that was the cost of running Ulverston. However, the additional cost means we have to find an additional £1,500.”

The new system reduces the number of people who pay the precept, meaning the council would have had to raise it by a further 39p in order to maintain the level of income it needs.

But councillors agreed it would be unfair to force the taxpayer to be burdened with the additional increase – which would have bumped the total increase for the year up to 10.9 per cent.

Instead the shortfall will be met by reducing planned increases to the town’s grants budget.

Last month’s budget increased the funding for grants by £3,000 to £15,000 but has now been set at £13,500.

Published by http://www.nwemail.co.uk