Cuts to council’s grants

A REDUCTION in the grant given to Daventry District Council has been announced by central Government.

The formula grant, announced last week, will see a 2.3 per cent reduction in the amount of money given to DDC by the Government in April.

The Government grant is usually the council’s largest source of revenue.

Daventry’s cut compares to a reduction of 0.9 per cent in South Northants, 0.6 per cent for Northampton Borough, and 1.6 per cent for Harborough District.

Rugby Borough will get a 1.6 per cent increase.

DDC has already said it will be basing its budget for the year - starting in April - on a council tax increase of two per cent. Increases over two per cent now require a local referendum. DDC’s share of the overall council tax bill is around 10 per cent.

Northamptonshire County Council has announced it will be working on freezing its share of the council tax.

Parishes and town councils do not face caps on the amount they can increase their precepts by, and most will make decisions on their budget in the new year.