Newcastle City Council has announced that millions of pounds will be invested in frontline services as part of its proposed budget. Council leader Cllr Colin Ferguson said he is committed to delivering change that residents can “see through their front window” in his first budget since becoming leader.
The proposals include greater investment in parks and green spaces, the creation of a new Neighbourhood Taskforce to handle weed killing, grass cutting and street cleaning, and £50 million dedicated to filling potholes. Councillors in every neighbourhood would also receive £50,000 to address issues that matter most to local residents.
Support for vulnerable residents
The budget would protect the Council Tax Support scheme, providing relief to people with terminal illnesses, veterans, carers and those living in deprivation. Cllr Ferguson leads a minority Liberal Democrat administration following the local elections in May and will present the budget proposals at a Cabinet meeting next week.
The Medium-Term Financial Plan (MTFP) will put the city’s Council Plan into action, supporting the vision to make Newcastle the UK’s most successful regional capital. It also delivers savings of £45 million over three years, with a large portion expected to come from the council’s Change and Innovation programme, which aims to modernise how the council operates.
Council tax increase proposed
Cllr Ferguson said the administration has little choice but to increase council tax by 4.99% or face cuts to core services while the transformation process is delivered. He said: “This is our first budget as a new administration and we are proposing bold and ambitious choices to deliver the change residents called for when they elected us in May.”
He added: “Pressures on council finances are no secret, but we will not reach for the quickest cuts because they make a spreadsheet balance today. We will not repeat the mistake of chasing headlines for a sugar rush today, only to have to deal with the crash tomorrow, as we’ve seen elsewhere.”
The Gosforth-ward councillor said the council must be financially strong to capitalise on opportunities, including increased international profile, major regeneration plans and the most devolved power the region has seen from national government. He said he will continue to lobby the Prime Minister for funding the city deserves and to ensure local authorities benefit from rapid devolution.
Consultation and next steps
The proposed MTFP focuses investment on great neighbourhoods, supporting communities and families, creating opportunities for growth and ensuring the council is financially sustainable. Following the Cabinet presentation, the council will consult the public on key proposals, including the council tax increase.
The budget proposals go to Cabinet on Monday, November 16, with formal consultation beginning the next day. After the consultation period, the MTFP will be voted on by all councillors at a meeting of full council.
