Consultation takes places into Leicestershire County Council's budget - which could see tax hike and service cuts

A consultation is taking place into local budget plans – which could see five per cent added to council tax and £4million in service cuts.

Leicestershire County Council is urging residents to have their say about the plans which would see Band D properties hit by an additional £1.39 a week on their tax bill – some £72 extra annually. It would create more than £17million extra for frontline services.

The authority has warned services including waste sites, streetlighting, Green Plaques and Shire Grants will be reviewed. Savings totalling £59million will also be made by maximising on digital technology and simplifying processes.

The county council is now calling on residents, businesses, organisations and staff to comment on the plan, which it says is designed to protect public services and support vulnerable people during tough economic times.

Deputy council leader Deborah Taylor, said: “Our priority is ensuring vulnerable people continue to receive services they depend on, despite soaring year-on-year demand. That’s why our plan earmarks an extra £57m for support – but this also means that difficult decisions lie ahead.

“Local government is facing an ever-increasing squeeze on funding so service reductions and a council tax increase also feature in our proposals.

“Balancing our £504m yearly budget is a complex balancing act. With the financial pressure growing, there’s never been a more important time to get involved and help shape future decisions.”

Part of its budget would see some £57million extra pumped into supporting vulnerable people. It would fund more home and residential care while supporting people with physical disabilities, learning disabilities and mental health needs. The council says the number of home care users has increased by 600 since 2020.

The council has revealed its budget is designed to balance the books next year, but a £90million budget gap is still predicted by 2026. Council bosses say this is despite local authorities faring better than expected in Government’s Autumn Statement.

Budget proposals also include a £500million capital pot available over four years, which will fund building roads, schools and other one-off projects.

The consultation runs until January 15. Click here to complete a survey or find out more.