HEREFORDSHIRE Council leaders are proposing a five per cent tax increase to help meet the growing pressures on its finances.

The council’s medium-term financial strategy proposes a 4.9% increase to achieve a balanced budget for 2019/2020.

The budget includes a two per cent adult social care precept rise and delivering savings of £3.9m.

The draft proposals would mean a cost of £126.23 per month for an average Band D property.

Conservative council leader Jonathan Lester said the budget proposal has been prepared against the backdrop of central government cuts to local council funding.

“The central government revenue support grant has reduced from £5.3m in 2018/19 to £0.6m in 2019/20 - a £4.7m reduction,” he said.

“The council consulted with the public over the summer on the suggested 4.9% increase to next year’s council tax, an increase of £5.90 per month for those who live in a Band D property, and 51% of respondents thought the council’s proposed Council Tax rise was about right or not enough.”

External auditors say the council is financially sustainable for the foreseeable future but finance officers admit they face growing demographic pressures and, while council finances have contracted, the demand for services has grown.

They say the council faces a constant challenge to manage the year on year increase in demand for adult social care and looked after children.

It’s Our County leader Alan Seldon said his group agreed with the increase but criticised the current taxation system.

“We have a system where central government can keep centralised taxes low and then blame local authorities for increasing council tax,” he said.

“Until local government finance is reformed, we’re stuck in in the never-ending cycle of people paying more for fewer services, poor roads and dirty streets.”

Independent group leader Bob Matthews said he was aware of the impact that constant tax rises are having on the hard-pressed public but would comment further once he had seen a detailed breakdown of the budget proposal.

Green leader Trish Marsh said her group backed the rise but blasted the cuts from central government.

“We don’t see how else the council can cope with reducing grants,” she said.

While Liberal Democrat leader Terry James said he did not know how long people would cope with the increasing costs.

“A lot of people have had enough,” he said.