More funding needed to help poorest residents

Councillors from all parties joined a call for further government support to help address the financial strain on households and businesses due to inflation and fuel costs, as they declared a ‘cost of living emergency in Herefordshire’.

Responding to the disproportionate effect the cost of living crisis has on the county’s poorest residents, a motion was put to the recent Council meeting (Friday 9 December). Councillors voiced their determination to provide quick and easy advice and support for those in need and have asked that a letter is sent to the prime minister - and both Herefordshire MPs - seeking government support to:

  • Fully meet its commitments under the European Charter on Local Self Government
  • Immediately increase local government funding for 2023-24 by the current level of inflation (11 per cent), as assessed by the Office for Budgetary Responsibility
  • Provide continuing funding so food banks become unnecessary
  • Start the promised local government fair funding review
  • Provide rolling three-year, index-linked funding for local government
  • Agree rolling three-year, index-linked grants for additional costs for rural councils until the fair funding review is implemented
  • Start revaluing and re-banding domestic properties for council tax and review the business rates charging system

The county has significant problems with child-, food- and fuel poverty. It also has high house prices, low wages, low productivity, low growth and low skills. People on low incomes are most likely to need and rely on council services.

Over the last decade, government funding for local services in Herefordshire has been reduced by around £100million, and the Council needs to find savings of around £22million (around 10 per cent of all service costs) to balance the 2023/24 budget.

 

Published: 19th December 2022