Budget meeting

 

Gateshead's budget meeting was held on Thursday 20th February 2025. The Lib Dem group had met on the Monday before to decide whether to vote for, against or abstain. The budget itself was a standstill. In effect there were no cuts though the council still faces a deficit in the years ahead. The standstill however is only on the basis of a 4.99% rise in council tax. Had the Council not raised the council tax by this amount, the government would have taken away from Gateshead's grant the same amount that would otherwise have been raised had council tax been increased by the full 4.99%. That could have cost Gateshead £millions.

The picture is the same across England. In effect council tax rises have been nationalised and those councils that step out of line will be fined. It was interesting to note in neighbouring Co Durham, the opposition Labour party attacked the joint administration (led by a Lib Dem) for raising council tax by 4.99%. It seems no one in government had sent Durham Labour the memo on council tax! Just as an aside, Labour had previously run Co Durham for a century but lost in 2021. Labour expect to win in the May local elections but their antics suggest they are becoming comfortable with an opposition role. Meanwhile, back over the border in Gateshead, we are getting uncomfortable with the role of opposition. Officers of the council need to know that the Lib Dems are building up as an alternative administration ready to take power in 2026 and take the hard decisions. Hence our decision to vote for the budget.

Pictured above and below, the Lib Dem group at the budget meeting (I took the photo so that's why I'm not in it). The size of the group meant 2 photos were needed to get everyone in!