Telford housing growth expected to bring in extra £3.24 million in council tax
Housing growth in Telford during the last year will bring in an extra £3.241 million in council tax, according to budget papers.
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It is the equivalent of a council tax rise of 2.8 per cent even before next year’s increase is set in stone at a meeting at the end of February.
Telford & Wrekin Council officers are going through the final number crunching in time to put together the amount that they will be demanding from the borough’s tens of thousands of Council Tax payers in April’s bills.
Budget papers published for last week’s full council say that the increase in funds growth is “equivalent to a council tax increase of 2.8 per cent and will help support services provided by the council, fire service and police service".
Councillors formally approved what is called the Council Tax Base for the next financial year. They had to hold a recorded vote by law.
“There are 83,883 properties in the valuation list for the Telford & Wrekin area,” say the budget papers.
This compares with a figure of 82,624 in the list at the same time last year.
This is an increase of 1,259 properties, which the council converts to the equivalent of an increase in the national average Band D at 1,590.9 properties, an increase of 1.52 per cent.
The council then assumes it will continue to collect 99.25 per cent of the bills it sends out.
They then work out that the total council tax receipts, including for the fire and police authorities, will be approximately £3.241 million greater as a result of growth in the tax base.
Once it has paid out to the police and fire service the borough council will be left with an extra £2.445 m.
“The growth is equivalent to a council tax increase of 2.8 per cent and will help support services provided by the council, fire service and police service.”
The report also notes that there has been a decrease in the proportion of lower rated Band A properties has decreased as development has seen more houses that would have been in Bands B to G. They note that the increase has been particularly noted in the increase of Band C properties.
Final recommendations on council tax levels for the financial year starting in April will be presented to full council on February 27.
