3 March 2010
City avoids increase in own Council Tax despite challenges to
finances; security supplement also held
Philip Willoughby, the Chairman of the Finance Committee of the
City of London Corporation, today (Wednesday 3 March) presented the
2010/11 revenue and capital budgets to the Court of Common
Council.
In his speech Mr Willoughby referred to the growing budget
challenges facing the City Corporation – particularly following the
forthcoming General Election.
Nonetheless, the City Corporation, which looks after the Square
Mile business district, has managed to:
- Hold its own Council Tax at last year’s level
- Retain the Square Mile’s unique City Security Rate Supplement
at last year’s level
- Secure City Council Taxes as 3rd lowest in London
But Mr Willoughby warned the elected Members who act as the
Square Mile’s local ‘council’:
"We must continue a long-term drive to achieve savings in the
way we deliver services". He added that although since last year
finance chiefs had made savings to stem a City Corporation
shortfall running at £20m a year, new forecasts had showed this
overhang still persisting - but at a rate of less than £2m a
year.
“A further budget savings exercise has therefore been put in
place across all services to eliminate the remaining deficits and
indeed to have options available should future Government policy
result in further changes to our financial position,” he said.
Read the full speech here (44kb)
Although the City Corporation has held its own Council Tax at
last year’s levels, the Band D residential council tax (including
the requirement of the GLA) for the City of London for 2010/11 is
set at £950.30 (up £7.51 or 0.8% including the GLA increase).
The Business Rate is set at 41.8p in the pound for 2010/11, with
the rate for small business at 41.1p. The City Security Rate
Supplement (which is included in these rates) remains at 0.4 p.
This supplement will raise around £6 million to be spent towards
police, contingency planning and security. On top of the business
rate the Mayor of London is setting a supplement of 2.0p in the
pound on larger properties to raise funds for Crossrail.
Ends
For further details please contact:
Sanjay Odedra, Press Office
Tel 020 7332 1835
Notes to editors:
About the City of London Corporation:
The City of London Corporation, whose elected Head is the Lord
Mayor, provides local government services for the Square Mile, the
financial and commercial heart of the UK. The City Corporation
works nationally and internationally to maintain and enhance the
City as a world-leading international financial and business
centre. It also provides London and the UK with special services
such as the Barbican Arts Centre, the Central Criminal Court at the
Old Bailey, 10,700 acres of open space including Hampstead Heath
and Epping Forest, three wholesale food markets, three inner-London
City Academies, the City Bridge Trust, economic regeneration
programmes in neighbouring boroughs and acting as London’s Port
Health Authority.