Council Agrees a Balanced Budget and Support for Hard Hit Households

South Tyneside Council has agreed a balanced budget despite continued financial pressures.

As part of a package of measures around 11,000 working age households on low income will be given a £100 reduction in council tax in 2022/23. The discount will automatically be applied to their council tax bill. This is in addition to the council tax support scheme which helps 18,400 households a year and the council tax energy rebate for bands A - D announced earlier this year.

Cllr Joanne Bell, Lead Member for Resources and Innovation at South Tyneside Council said: "Our financial pressures remain challenging, but we know that many in our community need additional support. That is why we have taken the decision to apply a £100 discount to council tax this year to working age households on the lowest incomes.

"Managing our finances is a balancing act and while we cannot help all households, we have tried to make some provision for those most in need."

The Council needs to save £6.6m in 2022/23 in addition to the £183m it has already saved since 2010.

The budget has been calculated incorporating an increase of 2.95 per cent in Council Tax in 2022/23.

This is a combination of the Government's adult social care levy, which is ringfenced for those services, and an increase in council tax. 1 per cent of this increase relates to the adult social care levy.

The council tax increase equates to around 64p per week for Band A households, into which the majority of households fall.

The final bill issued by the Council also includes separate amounts levied by other statutory bodies. The Tyne and Wear Fire and Civil Defence Authority precept has been confirmed at 1.99 per cent and the Northumbria Police and Crime Commissioner precept at 6.95 per cent for 2022/23.

Earlier this year the Government announced a one-off council tax energy rebate of £150 for most households in council tax bands A - D. The Council is advising residents to register to pay council tax by direct debit in order to speed up the rebate process. More information about council tax, the energy rebate and how to register for direct debit can be found at www.southtyneside.gov.uk/counciltax

This year's budget is presented against a backdrop of the Council's five community priorities to; support our young people in need, support families and older or vulnerable people, create the conditions for economic recovery and investment, support town centres, villages, and hospitality and invest in our natural and built environment.

The Council is committed to supporting households in financial difficulty or crisis. Unlike many other councils South Tyneside retains a local welfare scheme supporting those most in need at times of crisis. The Welfare Support Team has supported customers to access over £3.5 million in owed benefits and income since March 2021.