South Kesteven District Council proposes 3.25 per cent council tax hike

The move would see the authority raise its share by £5, the highest rate before a local referendum would be required.

It would mean the rate for an average band D property would rise from £153.62 to £158.62.

Senior councillors will make a decision on the plan at a cabinet meeting on February 7 before going before full council.

The council said the increase would bring raise an estimated £7.475 million in income.

Meanwhile the authority’s chief finance officer said in a report that it was “inevitable” that the budget carried “significant risk” due to the national financial situation of the public sector.

It comes as councils across the region are looking at other avenues of income in the face of funding cuts from government.

Councils are expected to see a further reduction in their revenue support grant, the main source of funding from government.

Meanwhile, Lincolnshire County Council has proposed to increase its share of council tax by 4.95 per cent.

The increase would include 2.95 per cent for general council tax and two per cent extra for adult social care precept for 2019/20.

County council leader Martin Hill acknowledged however, that the public was at the limit with council tax rises and moved to reassure people.