Cheshire East Tory group leader responds to autumn statement

The chancellor’s autumn statement allows all local authorities to increase council tax by up to three per cent from next April without a referendum - and those with extra social care responsibilities, such as Cheshire East, to put it up by an additional two per cent.

Conservative group leader Janet Clowes said she was disappointed that, following the budget statement, social care charging reforms are being delayed for two years, but said councils will keep money allocated for that work to address current social care pressures – and so warned against high council tax rises.

Cllr Janet Clowes (Image: Cheshire East Council)

“Potentially, an extra £2.8b in 2023/24 and £4.7b in 2024/25 may be raised by councils responsible for social care via specific council tax rises of up to three per cent,” she said.

“As councils will still receive a social care grant [amounts still to be confirmed] councils will need to consider very carefully, any council tax rise impacts on residents already experiencing cost of living pressures.”

Cllr Clowes described the chancellor’s budget statement as ‘a clear statement of intent, focusing on national stability, growth and public services’.

She said the cost of living crisis was a result of the impact of Covid, Putin’s illegal war on Ukraine, rises in energy prices and inflation.

And she said while opposition parties are ‘predictably critical’ of Jeremy Hunt’s autumn statement, they offer no coherent alternatives.

Cllr Clowes said: “Important support for the most vulnerable includes an additional £3.3b each year for the next two years for the NHS.

“The National Living Wage will rise by nine per cent to £10.42 an hour, there will be a cap on social rent rises and both pensions and benefits will be raised in line with inflation.

“The Household Support Scheme will be extended, providing a further £1b to support vulnerable households and the Energy Support Guarantee will continue to 2024, albeit at a lower rate to reflect anticipated reductions in gas prices.”

She said it is acknowledged that protecting the vulnerable and securing fiscal stability comes through tax rises and cuts in other areas.

“Nonetheless, it is right that the greatest burden falls, at this time, on those that can afford it most,” she said.

“The OBR (Office for Budget Responsibility) predicts that this budget will reduce peak inflation, reduce unemployment and increase GDP by one per cent, whilst the Bank of England expects this budget to reduce interest rates for borrowers and mortgage holders - all of which will put more of our residents’ hard-earned money back in their pockets.”