Somerset Council: No cost assessment in creation of unitary

Somerset Council Faces Criticism Over Lack of Cost Assessment for Unitary

A recent report shows Somerset Council did not assess costs for its unitary setup, raising concerns about funding and future tax increases.

Politics

Somerset,
United Kingdom,
Council Tax,
Social Care,
Unitary Authority

Somerset: A Freedom of Information request revealed that the Ministry for Housing, Communities and Local Government did not assess the costs of creating the unitary council. They also didn’t consider how population size and geography would impact the council’s effectiveness.

Initially, merging the former Somerset County Council and four district councils aimed to save £18.5 million annually. However, by 2025, the local authority may need to raise Council Tax by 7.5%. This increase won’t cover a £66 million funding gap.

The Conservative-led County Council proposed the single unitary authority, which was approved in 2021 by then Local Government Secretary Robert Jenrick. This decision faced significant opposition. District councils expressed that the Secretary of State ignored the people’s will, breaking trust with elected representatives.

Cllr Bill Revans, the Liberal Democrat Leader of Somerset Council, stated that the council is in a financial emergency. Rising costs and demand for social care are straining resources. The previous Conservative administration froze Council Tax for six years, complicating the new council’s efforts to support those in need.

Cllr David Fothergill, former Conservative Leader, noted concerns about the government’s stance on unitary councils. He emphasized that a population over 500,000 is necessary to fund social care adequately. Smaller councils established in the ’90s still struggle with funding.

As the planned 7.5% Council Tax increase won’t fill the £66 million gap, Somerset Council may rely on a Capitalisation Direction again. This allows councils to sell assets or borrow money to cover budget shortfalls and daily expenses.

The Ministry of Housing, Communities and Local Government has been contacted for comments.

Image Credits and Reference: https://www.somersetcountygazette.co.uk/news/24908340.somerset-council-no-cost-assessment-creation-unitary/?ref=rss