Old folk to pay price of council tax clamp

Jan 8 2008 by Dave Black, The Journal

NORTHUMBERLAND County Council yesterday unveiled proposals for capping council tax rises at 1.8%.

Transport charges for hundreds of A-level students are to be reduced – despite the plans to keep a tight rein on council tax for the third year in a row.

Charges for the elderly and vulnerable are, however, set to rise.

Parents, students, MPs and opposition councillors have consistently called for a cut in the cost of post-16 school transport and there was widespread anger in 2006 when the annual charge soared by over 50% to £360.

Last year there were renewed calls for action after it was revealed that the number of A-level and college students using school transport had plummeted from more than 2,000 to less than 600 since the fees were introduced. Next week members of the county council’s all-Labour executive are expected to agree to launch a consultation exercise on reducing the current level of the charge.

The move could cost the council up to £290,000 in income, and is one of a number of growth items planned for inclusion in the 2008/9 budget.

A report to next week’s meeting says this year’s budget figures have been prepared on the basis of a 1.8% rise in council tax bills.

That would require budget cuts and efficiency savings totalling £4.7m, about £3.5m of which would be made through increased charges for adult social care and reductions in central administration costs.

The authority is consulting on plans to boost its income by doubling the maximum weekly fee for home care from £60 to £120 by 2010, and ending free day care for about 2,100 elderly and disabled people in favour of means-tested daily charges.

Four months ago council leader Peter Hillman gave a commitment that the £360-a-year charge for post-16 transport would be cut following the outcome of a review of home-to-school transport policy. It followed a call by Lib-Dem members for the charge to be rescinded immediately.

Last night Lib-Dem Norham and Islandshires councillor Dougie Watkin said: “This has been a disastrous policy from the start and the quicker we get rid of the charge the better.”

But John Berry, regional secretary of the North-East Pensioners’ Association, said it was ‘absolutely ridiculous’ to ask elderly people to pay more for home and day care in order to help keep overall council tax bills down. “With electricity and gas price increases, it seems to be never ending for pensioners at the moment. They seem to be playing one off against the other and I am not at all convinced by the council’s argument that the people facing these extra charges can afford them.”

Conservative and Independent group leader Sue Bolam said: “We have considerable concerns about the proposed rises in care charges. Every time it is the customers at the sharp end who are having to bear the brunt of budget problems, through increased charges or a reduction in the level of service.

“However, we would very much support a reduction in the post-16 transport charge, at least back to the previous £250 figure. These charges have proved to be a disaster.”

Coun Hillman said: “We have to make efficiency savings and we try, year on year, to protect front-line services as much as possible.”