It is well known that Stockport Council is looking to save money, as much as £13m according to some sources, and desperate times call for desperate measures. This is why they look set to announce bad news for all local residents, six months before the next budget is set to take place. This is because it is expected that Stockport Council will propose a 3.99% council tax rise.
Yes, there is a need to bring in more money to provide funds for much needed work, such as adult social care, but this is the sort of headline figure that will leave many people concerned about life in the local area. The reason that this increase seems so concerning is down to the fact that a number of local councils have already increased tax by an additional 2% on top of the standard rise. This rise was dubbed the Osbourne Tax after the former Chancellor.
Osborne game town halls the option to increase tax over 1.99% in an attempt to bring in extra funding to support the vulnerable in their community. There was a lot of anger in greater Manchester about these hikes because many councils didn’t go public on the rise until the last opportunity at budget meetings in April.
Stockport council bosses have been transparent with tax
This wasn’t the case in Stockport where local bosses decided it would be best to be open about the changes and to offer transparency around their actions. This means that in April, the council tax for 2016/17 was increased by 3.75%. With proposals now looming to increase council tax by a further 3.99% in April of 2017, you can see why people are not taking the news too well.
The 3.99% increase would represent the maximum raise available to the council.
It would be fair to say that this rise could have an impact on the local property and rental market. After all, before you commit to an area, it is always best to review your finances, and this includes all of your costs. You can’t just assume that buying a home is about the cost price of the property or that the cost of renting a property is just what you pay each month in rent. There is a lot more to drawing up a budget on a monthly basis and council tax is a charge that you need to be aware of and factor in to your expenses.
If this rise goes ahead, some people looking at the area may decide against buying or renting in Stockport or it could be that existing residents and tenants will believe they can get better value for money elsewhere. It is good that Stockport Council realises they need more money and that they are working hard to increase their funding but this may be a decision that many people think is a step too far.
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