Council tax now looks likely to be set at just two per cent in Rutland – after a last minute proposal was approved by top councillors.

This means the Band D rate – for an average home – will increase by £44.38 to £2,263.33 in 2026/27 from £2,218.95 last year.

An announcement on schools funding from government last week has freed up Rutland County's Council's reserves.

The government said it would cover 90 per cent of local authorities' schools deficits – currently £10million in Rutland.

That amount is expected to rise to £26m by 2028/29 – but the council will only have to cover 10 per cent of this cost.

These council debts across the country have largely built up over time due to the increasing costs of special educational needs and disabilities (SEND) – while government funding has not risen at the same rate.

Only last week the council cabinet approved the draft budget with a council tax increase of 3.9 per cent.

But another cabinet meeting today (Tuesday February 17) debated whether that amount could be halved given the change in education funding – linked to expected government reforms to SEND.

advertisement

Education boss Cllr Tim Smith (Lib Dem) said it was refreshing for him not to be "spreading doom and gloom" for once.

He added: "We await the SEND reforms. We do have hints at what they will be and I think our children's services are well placed to deliver the changes that the government want.

"The funding announcement is certainly good news and gives us a much better financial outlook."

Cllr Diane Ellison (Lib Dem) said there could be an argument to keep the council tax raise at 3.9 per cent and spend the money on fixing potholes.

But she added that she did not believe the amount of money available would make enough of a difference to the roads and ultimately voted in favour of the 2 per cent rate.

Cllr Paul Browne (Lib Dem) said: "This proposal frees up money for us to reduce council tax at a tough time for our people. There's a squeeze on all our incomes. I can only applaud what is recommended."

A proposed reorganisation of local councils in the coming years could see Rutland join up with other authorities in the East Midlands to create two or three councils across Leicester, Leicestershire and Rutland.

Council tax rates would be brought into line across the two counties – a process known as harmonisation – meaning the annual levy would be slashed for Rutlanders.

advertisement

Council leader Gale Waller (Lib Dem) told the meeting: "Last year, we were told we would be able to freeze council tax. But the political lobbying in Westminster has rewarded Labour areas and rewarded areas where Reform have been successful – and places like Rutland have suffered.

"So this opportunity to only put up council tax by 2 per cent is a success. The sooner our residents are paying equal council tax to our neighbouring authorities the better. 

"It is grossly unfair that Rutland residents pay more. This change to two per cent gives us the opportunity to move closer to others in terms of what residents must pay."

The cabinet voted unanimously to approve the change to a 2 per cent council tax increase. The draft budget now faces a final vote at full council on February 26.

------------------------------------------

READ MORE: PCC forced to U-turn on policing precept after unanimous veto

Free from clickbait, pop-up ads and unwanted surveys, Oakham Nub News is a quality online newspaper for Oakham and Rutland.

Subscribe to our FREE weekly newsletter email HERE- just click the 'SIGN UP' button.

Please consider following Oakham Nub News on Facebook and Twitter.