Lib Dem Budget Keeps Election Promises

5.25.37pm GMT Thu 6th Mar 2008

• LIBERAL Democrat Richmond Council last night set a below-inflation (retail price index: RPI) Council Tax rise of 3.57% for 2008/2009, whilst delivering the borough's biggest ever investment programme.

This year's rise will mean that Council Tax will have risen only in line with inflation (RPI) over the first two years of the Lib Dem administration, compared with a 22% rise over the first two years of the last Conservative administration.

The revenue budget includes:

• £1.1 million extra for recycling and waste disposal;

• £900,000 extra for care services for older people and those with learning disabilities; and

• £600,000 extra for looked after children and pupils with special educational needs.

The Lib Dems also agreed last night the biggest ever capital investment budget for the next year, with £51 million for schools and other vital infrastructure improvements. This budget is partly funded from use of surplus reserves, partly from government grants and partly from increased borrowing. Over the next five years, the Council plan £165 million of such infrastructure improvements, mainly at schools. Over the last 12 months, around £12.5 million of surplus reserves have been invested in capital schemes to improve services. These include:

• £3.4 million on recycling vehicles

• £2.8 million on schools

• £1.3 millions on parks

• £730,000 on a children's centre in Barnes

• £760,000 on highways

• £600,000 on footpaths

Councillor Stephen Knight, Deputy Leader and Cabinet Member for Resources said: "This was a very challenging year for the council, with a significant real-terms cut in our government grant, which is already tiny compared to that received by almost every other council in the country. However we have managed to set a budget that builds on the sound, sustainable foundations laid last year and delivers on our manifesto promises. We promised investment in young people, in schools, in the environment and in those in need. This budget aims to do all that and to do so whilst keeping tax rises down to the minimum.

We are one of the most efficient and low-spending councils in the whole country and our staff work very hard to deliver excellent services with little money. Our investment plans over the next few years will deliver massive improvements to our schools, youth centres and to our local environment. We will also target resources at tackling inequality and deprivation in our borough, with more affordable homes, better services for less well off families and targeted resources at areas of relative deprivation."

Note: Latest inflation (RPI) figure - for the 12 month period to January 2008 was 4.1%