Hackney Mayor criticises government’s ‘one-off’ funding model as he sets out ‘careful and considered’ budget

Hackney Mayor Philip Glanville. Photograph: Hackney Council

Council tax in Hackney is to rise by 4.99 per cent, with the mayor saying it is “never an easy decision” to make such a move.

Borough leader Philip Glanville said the financial plan for next year is part of a “careful and considered” budget.

It comes at a time of crisis in which residents face inflation rates that are “higher than most residents would have endured in their lifetimes”.

The council tax hike will raise an extra £5m for services. The increase is the highest allowed without triggering a referendum and is in line with many other London councils.

There is an 85 per cent discount for those struggling the most and Cllr Robert Chapman, cabinet member for finance, urged people to get in touch early if they need help.

Council tenants also face a seven per cent increase in their rent – the highest permitted by government. Other London councils, including Camden, are increasing rent by the same rate.

Cllr Binnie-Lubbock outlines the Green party’s budget suggestions. Photograph: Julia Gregory

The mayor called on central government to give councils more certainty about future funding.

He said extra cash is often of a “one-off nature, so cannot be relied upon for long-term financial planning”.

He added that Whitehall does not cover gaps in funding for special educational needs and social care – areas that have seen an increase in demand.

While the council put together a balanced budget, it predicts a gap of £22.2m in 2024/25, and a £57.6m shortfall in 2026/27.

The Town Hall has already announced savings in its library service, and it is still consulting unions over the plans, which have led to a series of strikes.

The Conservative opposition proposed a raft of savings, including stopping the extension of Low Traffic Neighbourhoods and School Streets to save £890,000.

They also suggested fewer CCTV enforcement cameras and taking longer to refurbish the King’s Hall leisure centre.

Conservative deputy leader Simche Steinberger told the council: “You are spending money on the wrong things.”

His party also proposed cuts to council tax.

The Greens suggested other changes to the budget.

They want to see the council review its charges for film companies using “desirable” locations in Hackney, which they said could boost income.

They also want a review of the number of mayoral advisers, and suggested cutting one of the deputy mayor roles.

Other proposals include more staff working in the council’s Money Hub, a workplace parking levy, and hiring a biodiversity officer.

Green councillor Alastair Binnie-Lubbock said: “We think it’s really important that the promised biodiversity officer is a permanent role and that they are fully resourced to protect Hackney’s environment for residents, including trees who have been resident for longer than many of us, and non-human animal residents who have as much right to peaceful enjoyment of their lives as the rest of us.”