Tax rise for Lincolnshire will result in extra funding for businesses, flooding and roads says council leader

The county council’s budget takes up the lion’s share of the overall tax bill and the increase of £26.61 for the year would take it to £1,364.19 on an average Band D property.

The other biggest share is taken by Lincolnshire Police, which has proposed a 5.9 per cent rise in its share. or £14.94 extra a year for a Band D property.

The county council’s revised budget proposals include millions of pounds of additional funding to support businesses, respond to flooding and repair roads.

In light of the economic impact of coronavirus, the executive has proposed using some the council’s reserves to provide an additional £12m to help support local businesses. There is also an extra £200,000 for flood response and £10m more for roads.

Council Leader Martin Hill said: “We know local businesses have had a particularly tough time during the pandemic, so we want to make additional support available. Thanks to our careful financial management over the years, we do have reserves we can draw on in times of emergency, and now is the right time to do that.

“We are also recommending that extra funding is made available for flood response and roads as we know these areas are a priority for our residents.”

This year’s budget proposals include over £500m for the day-to-day services residents rely on, such as adult care, children’s services and the fire service. In addition, the council is proposing to invest around £200m in infrastructure and building projects, such as improvements to local schools and new roads.

The authority’s funding comes from a combination of council tax, business rates and government grants. Although the government is allowing up to a five per cent increase in council tax rates this year, the proposals recommend only a 1.99 per cent rise in recognition of the financial hit residents have taken over th epast year under Covid.

The majority of properties in Lincolnshire are in council tax band A so the council tax increase would be the equivalent of an extra 34p per week for these households.

The final budget will be set by the full council at their meeting on Friday February 19.