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City council finds surprising way to avoid tax rise

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Wednesday, 22 November 2023 08:32

By Gavin McEwan - Local Democracy Reporter

Hereford councillors say they can avoid raising tax in the city – by simply stopping paying for a CCTV service they don’t even use.

At a full meeting last week, city council clerk Steve Kerry said Hereford faces financial challenges down the line, with funding for the city’s new electric Zipper buses due to run out in 2026, and the city council likely at some point to take joint control of its Town Hall base in St Owen Street, currently owned by the county council.

Rather than face a “financial cliff edge” in 2026, it would be “prudent” for the council to build up reserves in advance, Mr Kerry said, but added: “The Zipper service has the potential to raise revenue from fares, advertising or sponsorship.”

Meanwhile, “if we become part-owners of Town Hall, we are part-liable”, he pointed out.

To address this, councillors had been contemplating a 5 per cent rise in the “precept” – the chunk of residents’ council tax bills that goes to the city rather than the county.

But Liberal Democrat councillor Sam Potts said payments for the city’s CCTV service, currently housed in the nearby Shirehall, “is one saving we can make, as we are getting nothing for it”.

Deputy mayor Coun Kevin Tillett added: “Our CCTV grant is £65,000 which is 5.8 per cent of our entire budget – it’s extraordinary.”

Coun Potts asked if withdrawing the cash would mean cameras in the city being switched off, and if so, how the funding shortfall would be made up – to which Mr Kerry said: “The prospect of not getting the money might focus minds.”

The other partners in running the CCTV service, Herefordshire Council and the police, were both asked to comment on the consequences of the funding withdrawal.

The Shirehall control room was opened in 2003, since when it has dealt with over 64,000 incidents. It monitors around 180 cameras in public places.
 

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