Council tax hike for West Berkshire as new administration ‘hails good news budget’

West Berkshire Council’s new administration has announced its first budget.

But it is operating on depleted reserves described as “quite frightening”.

Reserves are now down to around £4m – £3m below its proclaimed comfort level of £7m.

“This is quite frightening as there is not a huge amount of headroom for anything that comes left field at us,” said Iain Cottingham (Lib Dem, Thatcham Central), finance portfolio holder.

The overall budget of £174m is being funded by a council tax increase of 4.99 per cent, including the social care precept.

And £12.4m more goes into adult and children social care.

“By far the highest amount of spend is in adult social care and children care costs – amounting to 2,000 residents,” said Mr Cottingham.

“Nearly 70 per cent of the entire council budget is spent here.”

There will be a reduction of £3 in green waste charge from £58 to £55 a year – one of the manifesto pledges set out by the Lib Dems ahead of last May’s election – costing £100k.

“It has been a very challenging budget round and I am pleased we will avoid cuts in the main,” said council leader Jeff Brooks (Lib Dem, Thatcham West).

"It is a good news budget in that there are some investments. It’s been a whirlwind for us as a first budget.”

Mr Cottingham, in civvie street, is an accountant. He said public borrowing interest rates have gone up from 2.5 to 5.5 per cent, so the council will be borrowing short term as a result.

He also plans to launch a community investment bond to fund the Grazeley Solar Farm...which keeps getting more expensive.

It was originally budgeted at £10m when first announced, and that has more or less doubled. But the council hopes it will generate ‘eco investor’ interest.

About £1.3m from selling off commercial property investments will also boost the coffers.

The new budget proposes to invest £330m over next ten years.

It outlines education investment of £10.5m and £4m of highways improvements.

The council is also looking at solar farm and micro-hydro schemes, more flood alleviation schemes paid for by the Environment Agency and contactless bus payment technology.

Byways also get some love in the budget with works planned in Lambourn and Winterbourne.

And £25k goes to street sign cleaning – “to keep the district clean, smart and tidy”.