Council approves 5% tax rise and job cuts

Herefordshire Council has approved its budget which will see council tax rise by 5% in April and a series of vacant jobs being cut.

The authority is battling with a budget gap of up to £30m for 2026-27, and is having to deliver a large savings plan to balance its books.

As an example, the tax rise will add £98 a year to Band D bills, although the final rise is likely to be higher once any changes to the portions of the bill going towards police, fire and parish councils are factored in.

Conservative councillor Jonathan Lester, the authority's leader, said the budget "is honest about the scale of the task" they face.

During a full council meeting at its Plough Lane headquarters, politicians from other parties criticised the government for its funding settlement, calling it "unfair".

Earlier this week, local government minister Alison McGovern said their funding delivered on a promise to prioritise economically deprived areas.

Under its plans, the authority in Herefordshire is deleting jobs when they become vacant in areas like children's services, economic development, adult social care and legal services, with the aim of saving £1.2m.

They are also cutting spending on home to school transport, including reviewing its budget with taxi firms which provide travel for special educational needs and disabilities (Send) pupils.

Parking charges will also rise 10% on average, although the Tory leadership - which had been criticised by traders - said they would offset that by extending 30-minute free parking spaces.

Lester said the authority was "losing an arm and a leg" financially due to "a £17.3m pound reduction" in government funding, calling the challenge "huge".

"This budget has clarity, it sets out in transparent detail the pressures we face, and the rising demand for adult and children's social care," he added.

"We also have challenges in delivering services in a rural area."

Liberal Democrat councillor Terry James said: "On balance, I think we find ourselves in a position where we have to raise council tax by this level - unless we want to reduce services to the vulnerable."

Green councillor Stef Simmons said the staff had made "near-herculean" efforts to balance the books, calling the situation "bleak".

"The financial challenge facing this county is becoming insurmountable," she added.

Independent councillor Jim Kenyon criticised the car parking rises, saying he feared it "could be the death of the city centre" in Hereford.

The budget includes a record £29m capital investment in road repairs, as well as £10m on homelessness prevention, and the restoration of Shire Hall.

More savings will be needed in the future - with the projected funding gap forecast at £83m between 2026-27 and 2029-30.

A council report said there would need to be "workforce reviews to determine the future size of the organisation" over the coming years.

The government said it delivered an extra £440m to areas "hardest hit by historic cuts", in its latest £78bn settlement to local authorities.

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