Melton residents set to pay an extra £7 a year for borough council services

If approved, it would mean residents in an average Band D property would pay an extra £6.91 on the annual £230.85 they paid towards borough council services in the last year.

The final Council Tax bills will include contributions to Leicestershire County Council, which has by far the biggest share, the Leicestershire police and fire services plus parish councils.

County Hall is proposing to increase its share by 4.99 per cent and the Police and Crime Commissioner wants to hike his share by 4.89 per cent (the equivalent of £14 a year per household).

The final bills for householders in the Melton borough will be set at a meeting on February 27 when all the contributory shares will be known.

Melton Borough Council said it has taken account the cost-of-living pressures on households when setting its budget in the face of ‘significant reduction in its funding from central government’ and increased costs in areas such as providing temporary accommodation, insurance, asset repairs and waste.

The authority says it has managed to keep the Council Tax rise down by using its reserves to offset what would have been a £200,000 deficit in its general fund.

Whilst increased homelessness grant funding has been received, the council says this is insufficient to cover the rising costs, which have tripled, and associated demand to both prevent homelessness and then provide temporary accommodation, where this is unavoidable.

It is recognised that the ongoing use of the reserves to fund future deficits is unsustainable and whilst savings and efficiencies will continue to be pursued reductions to services in the future may be necessary.

Cllr Sarah Cox, portfolio holder for corporate finance, property and resources said: “The council continues to manage its finances well.

"There are many financial pressures facing local authorities, but I am pleased that we have managed to develop a balanced budget once again, whilst ensuring we can still deliver the priority services to our residents.

"However, with significant underfunding of local authorities over the past few years and high spending pressures for certain services, we have had to rely on reserves to balance our budget for the third year in a row and, therefore, we must continue to carefully monitor our finances and look to areas where savings can be identified if service cuts are to be avoided.”

Future funding for local government will be impacted by the drive to streamline the current two-tier structure.

Councillor Cox added: “We will work to understand the challenges and opportunities coming out of the government’s devolution programme alongside Rutland and other district and borough councils in Leicestershire whilst maintaining strong control of our finances.”

The borough council’s budget for 2025-25 includes investment in improving green spaces; continuing to fund physical activity facilities to support the health and wellbeing of residents; and an increased focus on Planning Enforcement to ensure the town grows sustainably, and builders comply with design requirements and planning obligations

The budget also seeks to makes provision for the necessary equipment and vehicles to support the planned introduction of weekly food waste collections across the borough.