‘Fairer funding’ was likened to a unicorn as councillors lamented a ‘horrendous’ year for finances.
South Holland District Council portfolio holder for finance Peter Coupland said COVID-19 had ‘ripped to shreds’ the authority’s finances, but praised staff for off-setting most of a proposed £1.7m saving.
The full council passed the budget and Mid Term Financial Strategy last week.
It includes a council tax rise that equates to £4.95 a week for a Band D property and a 1.5 per cent increase on rents
But Coun Coupland said the overspend for the current year would be £550,000, down from an expected £1.3m, but further savings would need to be sought.
“This council has run for 12 months with limited staff and councillors working remotely we’ve all coped extremely well and our end of year turn out will, I feel, probably be balanced,” he said. “We should feel satisfaction at the way this council is performing during this pandemic.
“This report suggests aspects of recovery in our finances on the horizon.
“It’s not easy in this COVID environment with its moving sands.
“A year of COVID has really and seriously affected this council’s running and finances and we now have to set our priorities and budget roadmap for the next 12 months.
“COVID-19 looks set to settle down later this year hopefully but the legacy of the financial disruptions its caused across the world will last for many years and that includes council’s budgets.
“Uncertainties and presumptions are more a part of bringing this budget together than ever before, but here we’ve taken a prudent position in our estimates going forward.
“We’ve had a horrendous year both personally and trying to run our council business from home. Our council finances have been ripped apart and officers and councillors interaction has taken place on small screens and on the phone.
“We will need to recover and transition to post-pandemic ways of working where we learn to live and work alongside COVID-19.
“I feel life cannot go on in fear of COVID-19.”
Coun Coupland also highlighted that there continued to be uncertainty over the Fairer Funding Review, which involves the government looking at how it funds local authorities with many, including Lincolnshire receiving less than other authorities.
Leader of the council Lord Gary Porter was specifically asked about the review.
“Fairer funding is probably going to be like unicorns,” he said. “I keep hearing people say it’s coming but never see people say when it’s going to come.
“The government budget didn’t have any mention of it either and the world now where the red wall has fallen to become a blue wall means any equalisation with urban areas is probably less likely not more likely.”
