THE leader of Wokingham Borough Council has said his administration will rise to the challenge as the council faces its “most difficult” period of the last 40 years.
Cllr Clive Jones delivered the statement at a council meeting on Thursday, September 22.
Cllr Jones said: “There is raging inflation, energy costs are rising as are fuel costs.
“Food prices and the cost of other goods in our shops have been rising for months.
“Only today interest rates have risen to their highest level in 14 years at 2.25%. Adding further pressure to the budgets of residents and the council.
“These are unprecedented times where we as the administration of the council have to make many difficult decisions.
“We won’t shy away from them.”
Cllr Jones believes the first priority for the council is to get the budget right.
He said: “Cllr John Halsall, the former Conservative leader, only a few months ago said reserves are for a rainy day and it’s now raining. Inflation was then around 5%.
“Well, things have now moved on; inflation has nearly doubled and is forecast by many to reach 18% next year.
“Things were so bad, the previous administration used £2m of reserves to plug the gap in the budget. That is the equivalent of a nearly 2% increase in council tax.
“There is massive uncertainty in the economy, and the council is not immune to these difficulties.”
Cllr Jones insists he and other councillors are working together with senior officers to maintain services and continue helping the borough’s most vulnerable residents.
As well as inflationary pressures and the impact of the cost of living, the council will be tackling “serious shortfalls” in revenue.
“There will be a shortfall in the revenue budget from leisure services and a massive shortfall in revenue from car park charges, this could be up to £800,000,” said Cllr Jones.
“This year’s budget for the provision of blue waste bags was the same as last years. Why didn’t anyone think there could be a rise in costs of blue bags?
“There are also pressures from rising demand for council services across the board, including many statutory services that we must support.”
Over the coming months the Corporate and Community Overview and Scrutiny committee will be looking at the budget for the next three years.
Cllr Jones said: “Councillors of all parties will be able to look at what is being considered before the budget is finalised in January.
“I encourage all councillors to take part in this process.”
Despite the issues facing the council, Cllr Jones maintains the administration will tackle the challenges ahead.
He said: “As I have said, we are living in very challenging times, but this Liberal Democrat administration will rise to the challenge, protect services as best we can and balance our budgets demonstrating financial competence.”
