Around Ealing Spring 2015 | Page 6

UP FRONT: In focus Budget: Tax freeze and investment Watch short video here Your council tax bills have been frozen for a seventh year running as part of Ealing Council’s budget for 2015/16. 15% less for Ealing 13.9% national average Cuts in funds 6 around ealing Spring 2015 T he decision has been taken by the council to keep tax held at 2008/09 levels, despite a £23.2million cut in its annual government funding from April. The aim has been to keep council tax as low as possible to help families, especially because many will not have had wage rises, or will have had low rises, in that period – while living costs have risen. Council tax could not realistically have been used to counteract the projected cuts to the council’s funding in the coming years, because it would effectively have meant doubling your bills to bridge the gap each year. Therefore, freezing bills was deemed both fair and sensible. The government will give all local authorities that freeze council tax a grant. Ealing will get £1.3million towards helping to fund the latest freeze. REDUCTION MEANS CUTS Last year, the council announced that it was expecting cuts by the government, and more in coming years, to the money it gives the council. Funding from the government is one of the biggest sources of money the council has to spend on day-to-day services. The government since confirmed it was reducing the amount it allocates to the council in its Settlement Funding Assessment from £154.8million in 2014/15 to £131.6million for 2015/16. This is in line with the council’s own pessimistic forecast and represents a 15% reduction on last year’s money and is a bigger cut than the national average of 13.9%. There is continuing uncertainty about how much money the council will get from the government in future years. This £23million cut for the coming year is just the start. The council is expecting to have to make unprecedented savings of £96million by April 2019. This also takes into account rising population, higher costs, increasing demand on services and a shortage of housing in the borough. This mammoth, four-year task is forcing it to change or stop some local services. The council has currently been working through proposals to find the necessary savings. A full list of proposed savings is available on the council’s website, at www.ealing.gov.uk/budget INVESTMENT STILL PLANNED Although the financial picture looks bleak, the council is determined to continue to invest in the borough – see next page. For more information visit www.ealing.gov.uk/budget