Extra money allocated to district councils facing rising costs from internal drainage boards has been welcomed.
The IDB levy support grant for 2025/26 will see South Holland receive £578,000 towards the annual bill.
King’s Lynn and West Norfolk will receive £499,000 while East Lindsey is awarded the largest grant of £1.16m.
South Holland and the Deepings MP Sir John Hayes said he welcomed the award.
“This uplift in funding for IDBs here in South Holland is most welcome and follows a recent meeting I’ve had with Jim McMahon, the Local Government Minister, to make the case for more investment,” he said.
“I’d also like to pay tribute to the long-standing efforts from the South and East LIncolnshire Councils Partnership,” he added.
The money is collected via the annual Council Tax bill which sees the district keep around 9p in every pound, with half of that going to support the work of the internal drainage boards.
The council had faced a 20 per cent rise in the preceding financial year and was one of many fighting for a fairer funding system.
Local authorities have been unable to raise council tax by the same percentage increase they face from the IDBs, which means services have been hit.
Since 2021/22, the total levy had increased by 36 per cent, or £947,000.
South Holland was a founding member of a Special Interest Group (SIG) of 40 councils working together to lobby for a fairer funding mechanism which would take the levy out of the council tax bill.
“It is vital we keep making the case to the government for reform, given the financial pressure that South Holland District Council remains under in respect of funding for drainage infrastructure,” added Sir John.
“This increased funding is welcome by South Holland and the SIG councils that will receive an allocation, and it will go some way to supporting them in 2025/26, However, it does not cover all the levy increase and some councils in IDB areas have received no additional support.
“The special levy has now risen to £52.37m, an increase of £12.62m since 2022/23.
“Even with the Government’s support payment, the pressure remains significant for many of the SIG’s councils,” said South Holland District Coun Paul Redgate, chair of the SIG for Internal Draining Board levies.
While the group thanks Westminster for the £5m, it is also urging the government to come up with a long-term solution to support councils through a funding reform.
“Councils in IDB areas need clarity from the government on the time frame, as the funding pressure facing our councils is not going away,” added Coun Redgate.
