East Lindsey District Council leaders have approved a 3.37% increase on council tax this year.
The authority’s executive board approved its budget on Wednesday, including the measure which will see a Band D property pay £151.74 towards its precept in 2021/22 — a £4.95 increase.
The council says its budget will create a surplus of £228,500. which it will put aside to cover any “income fluctuations” during the year.
However, a report before councillors said that estimated budget pressures mean that savings of £1 million per year were required to balance the budget from 2022/23 onwards.
It noted work underway to further develop partnerships including the strategic alliance with Boston Borough Council which it is hoped will make further savings.
Executive Councillor for Finance Councillor Richard Fry said: “This is clearly not a normal budget, indeed, I would characterise it as a singular budget which has economic recovery at its heart.
“I am conscious council must seek to ensure that it remains financially resilient, able to deliver services it has to by law, and to provide support to the district’s most vulnerable residents.
“However, and importantly, the budget initiates council’s input to the process of redressing the imbalances created by the COVID-19 pandemic, by appropriately focusing resources in accordance with a recovery plan.”
The budget includes a capital spending programme of £19.3 million for the next five years.
Councillors also agreed a new system to award discretionary discounts for exceptional circumstances where a council tax premium was being charged on empty properties.
At the same meeting, councillors agreed to support more than £230,000 investment in sports facilities in the district including new astroturf surface and 3G pitches at Louth’s London Road Pavilion.
Councillor Graham Marsh, Deputy Leader of the Council and Portfolio Holder for Partnerships, said the move supported residents to live healthy and active lives and ensured the site had a strong future.
Approval was also given for the sale of plot 63m Fairfield Industrial Estate in Louth, where the council is hoping to make a profit of £105,000 out of the £243,600 charge. The rest will go to Lincolnshire County Council and the former East Midlands Development Agency.