HEREFORDSHIRE Council’s Cabinet considered the draft 2019/20 budget and updated Medium Term Financial Strategy on Thursday this week.

This includes proposals for 2019/20 Council Tax rates. Cabinet will then make recommendations to Full Council for approval on February 15.

A spokesman said: “The spokesman added: “To achieve a budget contribution of just over £104m for 2019/20, a 4.9% Council Tax increase has been assumed.

“However, it is open to Cabinet to recommend alternative spending proposals or strategies.”

A spokesman said: “ The council’s gross annual revenue expenditure is in the region of £340m, funded by a combination of Council Tax, Business Rates, specific grants, rents, third party contributions and income from sales, fees and charges.

“Approximately £80m is ring-fenced to schools, leaving the council with around £260m to meet a wide range of statutory requirements and service provision to meet the needs of all residents, businesses and communities.”

Consideration of the draft budget must take into account the 2019/20 provisional local government finance settlement, announced by central government on December 13 last year..

The spokesman added: “Central government’s Revenue Support Grant has reduced from £60.1m in 2010/11 to £0.6m in 2019/20, forcing Herefordshire Council to deliver £90m of savings since 2010.

“Despite these financial challenges, the council continues to deliver a balanced budget and has increased general and earmarked reserves. Around 70% of Herefordshire Council’s main income stream comes from Council Tax.”