Another Isle of Wight Council tax rise of 5% is on the cards – and the council leader has said it is ‘absolutely not fair’ for residents.
The council has lodged a bid for Exceptional Financial Support (EFS) with the Government to try to alleviate financial pressures it is facing.
In an interview with the Local Democracy Reporting Service (LDRS), County Hall leader Phil Jordan said the authority was obliged to set the increase as part of its EFS bid amid a ‘severe predicament’ in budget setting.
He acknowledged, however, that year-on-year hikes were ‘absolutely not fair’ on Islanders.
The Alliance group leader last month cited an internal council assessment showing a projected budget gap of £22.7million in 2026/27, increasing to £44million by 2028/29.
He previously said in a letter to Government that the outcome of Whitehall’s Fair Funding Review places the authority in a materially worse financial position, reducing overall funding by £13.4million over the next 3 years.
EFS is a key source of funding for financially distressed local authorities and gives councils central government permission to use capital budgets, borrowing or asset sales to fund day-to-day spending, according to the Institute for Government.
Cllr Jordan said part of the process for applying includes showing to Whitehall that you have done everything you can as an authority to set the budget – actions such as asset sales, using up reserves and raising council tax to the maximum level. He therefore said County Hall was obliged to apply a 4.99 per cent council tax increase.
The Ryde North West councillor also referred to financial constraints arising from delivering statutory services, saying there was “just nowhere to go”.
He told the LDRS:
“You have to spend on social care, it’s two thirds of our entire budget. Social care overspend is seven to eight million this year, and growing.
“Children’s social care is two million and growing, because of special educational needs and disabilities (SEND) – and you can’t cut them so you have to keep paying for them.
Article continues below this advertisement “So, your costs and outgoing are increasing while your income is decreasing.”
Speaking again on the Fair Funding Review, Cllr Jordan said it had over 3 years placed the council in a “predicament that it cannot solve itself”.
Asked whether it was fair for council tax, to go up year on year, he said it was “absolutely not”.
“We’re already above the median council tax level across the country and it is not fair that we should have to continually increase council tax for our residents.”
Spelling out the way forward for addressing the council’s financial difficulties, he firstly mentioned “doing what we have to with EFS”.
“The answer is…the thing I’ve been working on and beating my head against the wall as have others, our MPs and senior executive team, is for government to recognise the Island is an island with increased provision costs and we’ve evidenced that”, Cllr Jordan continued.
“They’ve accepted it – that the cost of delivering on this Island are £24 million a year more than in an equivalent mainland authority – what we need them to do is pay us for that.”
And it will forever more….because they can.
No, because they have to. Read it again and try to understand what statutory care means.
The most scandalous charge.
Nearly £3,000 to have bins emptied once a week.
Shocking
Don’t talk rubbish. Have you got street lights, road repairs, fire, police, ambulance , social services ifyou needed them, car parks. cleaning beaches and it goes on and on so don’t be so stupid
Solar street lights that cost fcuk all to run.
Road repairs Lol.
Car Parks we pay to use
I could go on, but I will stop!, you don’t have a clue.
Not solar street lights, led lights still electricity needed ease look at facts or even Google them it’s spelt GOOGLE ..
Sadly, because of advances in the medical world, we can make people live longer, but sadly many need care to do that with no “escape” thanks to the “Lords”.
The SEND people, (Screen Exposed Neural Desease), or (Screen Exposed Nurturing Deficiency) are only going to increase with the lack of parental input.
And lo, highlighting the ignoramus you really are. SEND encompasses not only genetically-predisposed autistic type disorders including ADHD, Aspergers (as was) and major anxiety disorders, learning difficulties, developmental delays, but also visual impairment, aural impairment, paraplegia, Downs syndrome, muscular dystrophy, cerebral palsy, epilepsy, spina bifida and asthma.
Now, tell us again how those parents are somewhat lacking? Or better still, go back to school and learn WHY and HOW more children are afflicted year on year and then come back and tell us all how YOU think you can either a) alter the already altered genes responsible or b) where you think we’ll all magic the money from to provide these kids with the education they deserve, the same education that you took for granted and we all paid for in spite of the fact that you STILL reached adulthood as thick as mince.
Ask yourself why all the problems you mention have in a relatively short time come to plague our population.
instead of berating me, suggest a solution. At the moment as a species we are doomed.
Tell when in the last 10/20 years has it NOT been the magical 5%…????
What I cannot understand is that the increase is 5% but there is also an extra number of properties being built every year also paying council tax so the council take is higher each year than 5%. Trouble is running the council is like running a multi million pound business and no one on the council has any business experience.
I think everyone is expecting maximum possible rise every year now.
Maybe give up some of their bulging wage increase instead of keep rising council tax that will solve half the deficit. Are you listening Mr money grabbing Jordan
Yes, because councillor are paid millions, aren’t they? That’ll definitely sort out the deficit.
If the whingers on here ever bothered to inform themselves before commenting, they would know that this is a national issue, caused by chronic underfunding during the Tory regime, which meant that councils were unable to cope with the immutable costs of social care and SEND provision. Some councils have been given leave to raise council tax above the cap to address the issue: Bournemouth, Christchurch and Poole (up to 6.75%); Warrington (7.5%); Trafford (7.5%); Worcestershire (9%); Shropshire (9%); North Somerset (9%); and Windsor and Maidenhead (7.5%). There is also targeted Government funding try which the council can only access, if it’s doing all it can.