Conservative Failure Means Higher Taxes (Surrey Heath Liberal Democrats

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Conservative Failure Means Higher Taxes

February 25, 2005 3:45 PM

Cllr David Whitcroft, Rosalyn Harper and Cllr Duncan Clark send out a clear message!

On 23rd February Surrey Heath Conservatives decided to impose another Council tax increase above the rate of inflation on local residents, voting for 5% increase.

At this meeting Surrey Heath Conservatives demonstrated their inability to understand the very basics of good financial management.

They blamed everyone apart from themselves for having to increase Council Tax as well as raiding the 'current account' of the Council to make good their inept financial management of the past year.

Surrey Heath Conservatives' failure to develop an effective financial plan for the Council's car-parks, their failure to deliver the development on the Land West of Park Street on time and their failure to properly plan the Arena Leisure Centres closure for maintenance - all of which have deprived the Borough of Income - were not discussed in detail by Tory speakers at the meeting!

By choosing to raid the General Fund Working Balance by the tune of £594,000 the Conservatives undertook a massive U-turn which flew in the face of the approach adopted by them for many years.

Their approach is also unsustainable - which if followed on consecutive years would mean that the Council would become 'overdrawn':

2007/08 - £165,000 overdrawn

2008/09 - £1,100,000 overdrawn

2009/10 - £1,900,000 overdrawn

The inevitable result of the Conservative budget policy will be crippling service cuts as well as large Council tax increases in future years.

In response to the poor financial management by the Conservatives, the Liberal Democrat opposition proposed the following:

Councillors David Whitcroft and John Faulkner presented a prudent and responsible budget that would have seen a 3.3% increase in Council tax charges for local residents. They demonstrated how the Council could achieve this realistic level of increase by making savings:

Reducing by £50,000 the massive subsidy given to Camberley Theatre;

Transferring £130,000 from the unnecessary Insurance reserve;

Allocating £50,000 from the Community Fund

Transferring £400,000 from the oddly named Capital Reserve (in fact a revenue reserve!) to the General Fund Working Balance

The Liberal Democrats prioritised their key spending pledges by allocating funds as follows:

Improved skateboard provision - £15,000

Action Holiday Improvement Plan - £17,000

Provision of improved CCTV coverage - £50,000

Environmental initiatives - £25,000

Youth initiatives - £30,000

In summary the Liberal Democrat budget outlined:

A reduction in Council Tax from 5% to 3.3%

Increased budgets for CCTV, Skateboarding and other essential activities

Restoring the General Fund Working Balance to a prudent and sustainable level as per the guidance received from External Auditors.

Ensuring that in the forthcoming financial year that the council proceeds on a sound

financial footing.

Surrey Heath Conservatives, whose traditional, unimaginative approach to Council finances will inevitably result in higher taxes and worse services, voted down the Liberal Democrat budget!