WYRE Forest District Council is planning a three per cent increase in its proportion of council tax amid financial pressures from inflation.

Members of the district council cabinet will consider the draft 'Medium-Term Financial Strategy 2023 – 2026' and 'Capital Strategy 2023-2033' when they meet on Tuesday, December 20.

In 2009-2010 the council’s net revenue budget was £16.4 million. Based on current plans spending will fall to £13.6 million by 2025-2026. This is a reduction of around 18 per cent in absolute terms and more than 50 per cent in real terms.

The government has confirmed that funding from grants to help pay for services is not being increased by as much as inflation again this year. This means further reductions in net expenditure will be required for the council over the next three years to close this funding gap.

The cabinet is proposing a three per cent increase in the district council’s proportion of council tax, which equates to £6.33 a year or 13p a week for a Band D property. Most properties in the district fall into Band B or C.

The council has said they are feeling the financial pressures from inflation and other price rises, also felt by households.

Councillor Mary Rayner, Wyre Forest District Council’s cabinet member with responsibility for finance and capital portfolio said: “Residents will know that while we collect council Tax only 11 per cent of it is kept by the district council. The rest goes to other organisations. We are currently proposing to increase our share by 13p a week for a Band D property. Although we are suggesting an increase, it is below the expected rate of inflation.

“This means our council tax income will fall in real terms. We won’t know how much we will receive towards the cost of council services from government until next week and our final funding settlement from the Government won’t be known until February, so we will review our position on council tax then.”

As part of the 'Capital Strategy' the cabinet is focussing on Greener Wyre Forest, its programme of actions to reduce its carbon emissions. The cabinet is proposing buying five non-fossil fuel vehicles in 2023. Procurement of electric charge points in some council car parks is taking place at the moment.

The cabinet is also considering a recommendation to freeze car parking charges and season ticket prices in 2023.

The move follows the work of an advisory panel. It has also put forward plans to introduce a 30 minute ticket costing 70p. Another recommendation is to introduce a flat rate charge of £2 for parking between 6pm and 8am.

Councillor Helen Dyke, leader of Wyre Forest District Council said: “The budget proposal focus on what we need to do right now to make sure that we can continue to deliver essential services. The strategy provides for securing the technology and resources needed to function.

“The council is making efficiency savings, growing income and reviewing how it delivers services. But these measures won’t close the funding gap entirely.

"Due to the time frame the strategy covers and the reserves the council holds there is time to make adjustments to it.

“This will be needed to close the funding gap.”

The final proposals will then go to full council at the annual budget setting meeting in February.