Council tax rise ‘kept to inflation’

Date published: 17 July 2008


LIB-DEM Leader Howard Sykes has again promised that council tax rises will be at — or below — inflation for the next two years.

He made the pledge last night in his mini-budget, outlined two months after his party took control of the council in the local elections.

Councillor Sykes, however, said: “There is no new money” but added: “What we have is investment in what we think matters most to people.

“We need to be open and honest and say that all in the garden is far from rosy. Oldham’s financial position still remains a matter of serious concern to us.”

The changes to the previous Labour administration’s budget meets the Lib-Dems’ three key election pledges: to re-establish and properly fund area committees; to provide more money for waste and recycling; and to improve the areas where people live.

They are saving £1.9 million from the original budget; which includes using £1 million from Oldham’s dividend from Manchester Airport, and £700,000 from the Local Authority Business Growth Initiative (LABGI) to fund other things.

They will spend £985,000 on areas such as: £500,000 in environmental cleanliness and refuse collection, including gully cleaning; £65,000 for Christmas trees in each district centre; £100,000 to give area committees planning powers, and £20,000 for Delph library which is run by volunteers after it was axed by Labour.

Councillor Sykes said there would be no “sleight of hand” and “no spin”, and added that the council has a £9 million-plus gap in next year’s budget because of Labour.

“Not only is the cupboard bare, we have burned the doors last winter to keep warm. There is a hole in the bottom of this so-called cupboard and it is just about to fall off the wall.”

But Labour councillor Abdul Jabbar said: “I am sure the people of Oldham will be very disappointed that, having promised great change, they have come up with a proposal that is effectively 99.5 per cent the same as our budget.”

Former council leader David Jones added: “What I find dishonest is they did not mention that in order to change the budget, the effect that has had on present priorities such as alley-gating schemes. That’s conveniently left out.”

His colleague Councillor David Hibbert hit out at the re-allocation of LABGI and added: “You’re taking out nearly three quarters of a million to spend on Christmas trees and put up hanging baskets.

“The message you are sending to young people is you might be unemployed but you can still walk through a pretty town centre.”