Royal Borough's Shock Over "Derisory" 2% Maidenhead Grant Increase
The government has dealt yet another financial setback to Maidenhead Royal Borough residents with a grant settlement for the next financial year that makes no provision for increasing demand on Maidenhead council services or for developing services to meet local needs.
The grant settlement, announced by the Chancellor on Monday afternoon (December 5), gives the Maidenhead borough a total of £15.6 million in Formula Grant, £300,000 more than last year which equates to a 2% increase at a time when inflation on local authority services is running closer to 4%. Longer-term government proposals have indicated that in 2007/08 the Maidenhead Royal Borough's grant will increase by just 1.5% to £15.8 million, an increase of only £198,000.
Based on these figures the borough is in the bottom five "hardest hit" councils in the country in terms of government grant for 2005/06.
"The Royal Borough has been given a derisory increase for the year ahead," said Maidenhead Cllr David Eglise, lead member for resources, "and it is both appalling and depressing that the government has apparently paid total disregard to the needs of residents, particularly the increasing need and demand for services from our growing numbers of older people and the most vulnerable members of our community.
"This level of budget settlement is shocking and will invariably prove detrimental to council services with no prospect of improvement in future years.
"It is much to early to say what effect this settlement will have on next year's council tax but I give my assurance to Royal Borough residents that we will be doing our very best to keep any increase in council tax to the absolute minimum. Nonetheless, for yet another year we are facing great difficulties and there will be tough decisions ahead."
For the first time funding for Maidenhead schools is now allocated under the Dedicated Schools Grant, separate from the Formula Grant for all other Maidenhead council services.
The Royal Borough of Windsor and Maidenhead ~ 07-Dec-2005
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