Tax rise and hundreds of job cuts planned as Cornwall Council looks to save £55M

Tax bills are expected to rise by at least 2.99% and 410 job are expected to be cut to balance the books.

Cornwall Council's budget plan will include a rise in tax bills and hundreds of job cuts, the authority has announced.

Tax bills are expected to rise by at least 2.99% and 410 job are expected to be cut to balance the books.

The budget for 2022/23 has been published for the first time ahead of a meeting of the council’s cabinet next week to consider the proposals.

In them it is proposed Cornwall Council’s share of council tax bills would include a 1.99% general increase and an extra 1% to fund adult social care services.

If approved it would mean a Band D property would pay an extra 96p a week for Cornwall Council services.

Final council tax bills will also include charges for Devon and Cornwall Police and for town or parish councils to be added when decided so the total rise will be higher than 2.99%.

In the draft budget proposals report, Cornwall Council highlights it is protecting council tax support which is provided for those struggling to pay their bills, including support for care leavers up to the age of 25.

A large proportion of the council's required saving is set to be made in cutting the number of buildings the council owns and operates as well as cutting its workforce.

Council leader Linda Taylor had previously announced the council would need to cut its staff spending by around £18m and said it would do this with a recruitment freeze, deleting vacant posts and voluntary redundancies. However the council has warned compulsory redundancies “will be unavoidable”.

The new budget report explains 410 jobs will be cut by March 2022 - with 200 removed through not filling vacant posts and 210 through voluntary or compulsory redundancies.

Formal consultation with unions on the proposed job cuts started on November 23 and the report says a package of support is available for affected staff.

While there are a number of savings required, the council has indicated it will also be looking to invest and improve services.

It wants to increase spending on adult care services by £45.5million and is proposing spending £93million to provide 550 more school places and repair school buildings.

It also has more than £1billion of capital investment projects lined up and aims to invest £29million in providing warm, dry and energy-efficient homes.

The proposals include spending £54million on improving technology and the council’s estate of buildings and offices.

At a meeting of full council on 30 November, deputy leader David Harris was asked what the single biggest pressure on the budget was and he said it is adult social care.

He explained the department is forecasting an overspend of £30million for the current year, although he explained that £15million of that was “ongoing Covid-19 activity” and that the “vast majority” would be covered by government grants.

The draft budget proposals will go to an extraordinary meeting of the cabinet on 8 December when councillors will be asked to approve them for consideration by the council’s overview and scrutiny committees and for public consultation.

Final decisions on the budget setting and council tax levels will be made in the new year.

Credit: Richard Whitehouse, Local Democracy Reporter