North Kesteven District Council have set their £4.95 annual council tax increase for 2021/22.
The financial plan, which includes a 2.92% increase in council tax, went before the authority’s Executive Board on Thursday.
This means residents in a Band D property would pay £174.60 annually, up from £169.65 the previous year – a £4.95 increase.
The Executive Board papers said: “The COVID-19 pandemic and resulting impacts have had a significant financial impact for the council during 2020/21.”
In the meeting, Russell Stone, Director of Resources said: “These are all issues that we face alongside an increasing reliance on on the local economy, which is creating a large amount of volatility and uncertainty in the council’s finances going forward.”
As a result, North Kesteven are expecting to receive approximately £1.5 million in grant support for 2020/21, which will still leave an expected deficit for the council’s general fund for the year of approximately £678,900 (as of December 31, 2020). This is to be financed from the Income Volatility Reserve.