Martin Ford 27 May 2021

Council tax collection deficit hits £500m

Council tax collection deficit hits £500m  image

Councils will need ‘additional help from taxpayers’ to balance their books, the Chartered Institute of Public Finance and Accountancy (CIPFA) has warned.

The warning followed the release of figures showing an estimated council tax collection deficit totalling £509m for English authorities in 2020-21.

According to the data from the Ministry of Housing, Communities and Local Government (MHCLG), Liverpool City Council is facing a deficit of £17.7m, Leeds City Council’s deficit stands at £15.9m and Brent LBC’s also exceeds £15m.

As part of measures to combat the financial impact of the pandemic, the Government introduced a 75% tax income guarantee scheme and has granted dispensation to spread repayment over three years.

CIPFA chief executive officer Rob Whiteman said: ‘Ultimately, this financial hole isn’t as deep as it looks, but, with the Government ending COVID support at the end of June, it’s hard to see how councils will be able to afford to repay the remaining deficit without additional help from taxpayers in the future.’

MHCLG permanent secretary Jeremy Pocklington said last month there were ‘no plans’ to extend financial support for councils, but the situation was ‘under continuous review’.

Despite the overall deficit in England, 41 councils have reported a council tax collection surplus for 2020-21, standing at £4.2m for South Oxfordshire DC and £4.1m for Greenwich LBC.

SIGN UP
For your free daily news bulletin
Highways jobs

Client Resident Liaison Officer x3- Basildon Borough Council

Essex County Council
£18.5000 - £20.5000 per hour
Client Resident Liaison Officer x3- Basildon Borough Council Basildon, Essex £18.50 PAYE / £23.73 Umbrella per Hour Full-Time - 36.25 hours per week T England, Essex, Basildon
Recuriter: Essex County Council

Children and Young People with Disabilities Support Worker

Essex County Council
£25395.00 - £32131.00 per annum + + 26 Days Leave & Local Gov Pension
Children and Young People with Disabilities Support WorkerPermanent, Full Time£25,395 to £32,131 per annumLocation
Recuriter: Essex County Council

Family Worker (Link Role)

Essex County Council
£31931.00 - £36423.00 per annum + + 26 Days Leave & Local Gov Pension
Family Worker (Link Role)Permanent, Full Time£31,931 to £36,423 per annumLocation
Recuriter: Essex County Council

Family Worker (Link Role) - 12 month Fixed Term Contract

Essex County Council
£31931.00 - £36423.00 per annum + + 26 Days Leave & Local Gov Pension
Family Worker (Link Role)Fixed Term, Full Time£31,931 to £36,423 per annumLocation
Recuriter: Essex County Council

Recovery Worker Substance Misuse - Multi-Disciplinary Team

Essex County Council
£31931.0000 - £36423.0000 per annum
Please note that this position is being offered as a Fixed Term Contract / Secondment until March 2028.The TeamThe Multi-Disciplinary Team (MDT) comp England, Essex, Harlow
Recuriter: Essex County Council
Linkedin Banner