Council tax in Dundee will increase by 2.9% in the next financial year, it has been confirmed.
Residents in band D properties will see their annual bill rise by about £40, from £1,379.00 to £1,419.03
Those in Band A — the lowest — will see a £26 rise, while Band H homes — the highest — will see a £98 rise.
The tax hike, which will be introduced on April 1 2022, was agreed by councillors as part of the city’s budget for 2022/23.
The SNP administration’s revised revenue budget of more than £390m was easily passed in a special meeting of the policy and resources committee on Thursday afternoon.
Its main focus is higher spending on tackling social inequality, administration councillors said.
What are the key increases?
- £2.86m additional spend agreed
- £1.66m to tackle social inequality in Dundee such as child poverty and to mitigate against increasing energy bills.
- £450k to support initiatives that drive economic recovery.
- £400k to enhance communities and the natural environment including tackling anti-social behaviour.
- £210k for the transition to net zero emissions, including developing active travel options such as cycling and improving air quality.
What are the key savings?
- £8.9m was needed to balance the books and most of this came from Scottish Government cash (£3.44m) and the increase in council tax.
- £1.6m in budget savings and “efficiencies” were also agreed.
- This is made up mostly of a £500,000 increase in the “general contingency” needed for any unforeseen or emergency expenditure.
- Six unfilled social worker/support worker posts will be axed, saving £210,000.
- Closure of properties such as office space, saving £100,000.
- Closure of three automated public toilets in the Hilltown, Broughty Ferry, and Lochee, saving £77,000.
- Cash counter services will be shut at Dundee House and East Housing Office on April 1, saving £207,000.
Willie Sawers, depute convener of the policy and resources committee and finance spokesman, said: “No one can be unaware of the unprecedented circumstances surrounding the setting of this budget, which has been influenced by the same global pressures that have squeezed household finances in the past 12 months.”
He added: “In the last 14 years council tax in Dundee has only been put up five times and this increase is as restrained a response as we could make to the substantial economic impact of the pandemic, the effects of which are going to be with us for years to come.
“This year the council’s budget will provide additional funding to support the work of the drug commission, mental health and climate change, while at the same time improving support for people in the city experiencing all forms of poverty.”
What did opposition councillors want?
All opposing parties were keen to stress the city’s financial position has been worsened by two major and unexpected costs.
The sudden and mysterious closure of Olympia’s swimming pools will require repairs of around £4.5m.
And a blunder which left hundreds of council homes with sub-standard roofs will cost £4.4m to correct.
Together, the issues require £8.9m to be found in next year’s spending plans.
Labour
The Labour group, which has eight councillors, had focused its alternative budget on additional spending in education to tackle the growing attainment gap.
The Scottish Government has cut £4.9m from Dundee’s Attainment Challenge Funding which was previously promised to boost the life chances of Dundee’s poorest children.
And Labour councillors say some of this funding should have been replaced with cash from Dundee’s own budget.
They proposed a slightly smaller council tax increase of 2.4%.
Conservatives
The Conservatives, who have two councillors in Broughty Ferry and one in the West End, had focused on keeping the city’s pavements and roads well-maintained and clean.
They wanted more street sweepers, an extra animal control officer, and an additional £2m of capital spending for road and pavement repairs.
The Conservatives had proposed a council tax freeze.
The Liberal Democrats
The Liberal Democrats, who have one councillor in the West End, and one councillor in Broughty Ferry, also argued more funding should have gone towards keeping the city clean.
They wanted 20 new street sweeping staff, to keep public toilets in Broughty Ferry and Lochee, and stop cuts to the cleaning of bus shelters.
The group had argued for a lower council tax increase of 1.63%.
