The Performance Plan 2006

SCDC is a low spending council. National Audit Commission 2004/05 comparisons show that our spending is in the lowest quarter of the 238 district councils for all services; apart from planning and some aspects of housing. The 2005/06 Council Tax at £97.48 per annum for a Band D property is the 9th lowest in England.

Up to 2004/05 the Council kept Council Tax at artificially low levels by using reserves. The long-term strategy was to increase Council Tax up to the district council average to maintain spending as reserves ran down. It was seen as necessary to maintain and even increase spending levels, after years of comparatively very low spending, to equip the Council to respond to modern demands, the expectations of service users and to respond to district growth pressures in the form of the new town at Northstowe and other growth areas.

However, in 2005/06 the Government capped the Council Tax. The Council had to make savings of £2.6m (18.5% of its budget) and totally reassess its future financial strategy. The government decision will require the Council to keep its spending and Council Tax well below the average for district councils, irrespective of local needs (e.g. the need to plan for the new town of Northstowe) and the views of local people (who in consultation supported a substantial increase in Council Tax).