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Council budget 2019/20

The financial challenge

Since 2010, Government has cut our core funding by £140m – that’s about half. It is planning to cut another £30m by 2022. Our overall spending power has been cut by £529 per person  – that’s the highest cut in London. In the meantime, demand for services is increasing.

Funding 2010

Funding 2018

Funding 2022

£310m £170m £140m

Our priority has always been protecting frontline services, so we’ve tried to address this huge challenge by, among other things, reducing management and back office staff, investing in services to reduce costs in the long term, bringing services back in house and renegotiating contracts.

After a decade-long freeze we increased Council Tax for the first time in 2016, to help fund things like parks and libraries, waste collections and support for our most vulnerable residents.

Over the next few years, we will have some difficult decisions to make, but our priority will always be to protect frontline services and make sure we can look after our most vulnerable residents. We will involve you in these decisions.

Council tax 2019/20

At a council meeting on 27 February, councillors will be asked to consider proposals to increase council tax by 4.99%. This will increase bills for most people in Hackney by 92p a week.

Increasing council tax is not an easy decision, but we need to do it to help fund vital services.

The increase will raise an extra £3.8m – about 13% of what we need to save.

Your guide to council tax in Hackney 2019/20

Find out more about council tax, why we need to increase it and why we don’t increase it further:

What’s next?

Despite the challenges, we still manage a budget of over £1.1bn, and we have ambitious plans to not only protect the services you rely on, but also invest in a wide range of services, from social housing and youth clubs to our employment service and affordable work space for local businesses.

Our budget aims to make sure that Hackney continues to be a place for everyone, and help all of our residents access the opportunities and benefits that Hackney’s growth brings.

We’re finalising our budget for 2019/20. It will be published on our website before our Cabinet meeting on 25 February. It will then be debated by all councillors at our Council meeting on 27 February.

You will receive a summary of what is contained in the budget in Hackney Today on 11 March, and via your council tax booklet, which will be delivered with your council tax bill in March.

Statement concerning adult social care funding

The Secretary of State for Communities and Local Government has made an offer to adult social care authorities.

Adult social care authorities are local authorities which have functions under Part 1 of the Care Act 2014, namely county councils in England, district councils for an area in England for which there is no county council, London borough councils, the Common Council of the City of London and the Council of the Isles of Scilly.)

The offer is the option of an adult social care authority being able to charge an additional “precept” on its council tax for financial years from the financial year beginning in 2016 without holding a referendum, to assist the authority in meeting expenditure on adult social care.

Subject to the annual approval of the House of Commons, the Secretary of State intends to offer the option of charging this “precept” at an appropriate level in each financial year up to and including the financial year 2019-20.

Page updated on: 4 July 2019