TORY rulers of South Derbyshire District Council are to decide whether or not to freeze council tax.
The authority’s medium term financial plan assumes a year-on-year increase in the charge of 2.5 per cent from 2014-15.
However, the Government has again offered to reimburse authorities’ ‘lost’ revenue to the equivalent of a one per cent increase in the charge for 2013-14 and the following year for councils that freeze the rate.
In a report to councillors, head of corporate services Kevin Stackhouse said: “As the council plans on a 2.5 per cent increase per year, this would reduce projected council tax income by approximately £560,000 over the planning period.”
Under the 2011 Localism Act, the Government has capped council tax increases for 2013-14 at two per cent.
Councils can ignore this and set greater increases provided they seek voters’ approval in a referendum.