Although the Conservatives are of course pleased that the council tax increase in Bournemouth for the coming year is to be in single figures it is by no means all due to the Lib Dem administration.

Whilst funding from central government is still an issue, they have been far less stingy than for some years and have also allowed Bournemouth to gain from some substantial financial windfalls as well. Government have also relaxed the amount of new and unfunded initiatives they require of Bournemouth in the next year, taking pressure away from parts of the budget.

The previous Conservative administration made a deputation with Sir John Butterfill to the Minister last year when we asked for the special grant floor protection to be retained for an unprecedented second year given Bournemouth's poor government grant over the previous three years. This the Minister has done, giving the council tax payers of our town a further £2.8M and an almost automatic single figure increase for this next year.

In addition, the government have given Bournemouth an additional grant of £500,000 and allowed windfall gains of a further £2.7M leaving the local council tax payers with an unexpected total of £6M more than could have been prudently predicted at the time of the worse case scenario 16% increase estimated last spring. This total increased funding equates to what would otherwise have been an increase of 10.7% more in council tax whoever was running the Council. There is also a further £850,000 available from the accumulated collection fund surplus together with last year's underspend by the Conservatives which reduces the increase required by a further 1.5%. All this is a pretty tidy sum which simply wasn't available before and is why the increase in council tax isn't a further 12% higher.

The Lib Dems have reduced budgets for next year by some £2M, mainly by cuts in front line services, rather than by efficiency savings. The Conservatives had already started a comprehensive root and branch review of all costs at the time the Lib Dems took control of the Council last year, in order to add to the efficiency gains of £15M achieved during our 4 years of running the Council. It remains to be seen whether the people of Bournemouth find a reduction in services preferable to further genuine efficiency gains or whether they expect a more businesslike approach which delivers improved services at a lower cost.

The council tax increases the Conservatives were forced into making over the last 3 years were entirely necessary and are the foundation of this Lib Dem budget - otherwise they would be offering reductions rather than any increase at all. The residents of Bournemouth should be aware that there are a number of new budget pressures included in the increase in council tax as a direct result of Lib Dem policies and there are some savings coming through this year and in future years as a direct result of previous Conservative policy decisions such as the restructuring of the management of the Town Hall. Despite controversial statements to the contrary I would expect there to be a balanced budget in the current year by taking a corporate financial approach to the overall budget. Previous Lib Dem administrations in Bournemouth have consistently overspent their budgets and council tax payers will be able to judge over the next 3 years whether this time it is any different.

As the Lib Dems continue to smear the Conservative record on council tax whilst taking the credit for what the government have done this year, the Conservatives hope that the Lib Dems will also take responsibility when the government are not as generous in the future.

For further details please contact:-

Cllr John Beesley
Bournemouth Conservatives
on Bournemouth Council

Tel. 01202 762403
Mobile 07860 391219
email john.beesley@bournemouth.gov.uk