Cumberland Council criticised for £23m borrowing as tax rises
She said funding was "insufficient" and there was no alternative but to ask for Exceptional Financial Support (EFS) from the Government totalling £23m.Cannon said that borrowing was not a "dirty word" because it helped in areas such as providing infrastructure, the Local Democracy Reporting Service said.Ellis disagreed with Labour leaders' claim that it was a "balanced budget", because it required such extensive borrowing.
'Huge debt'
Independent councillor Robert Betton raised concerns about the council tax increase at a time when people were "struggling with the cost-of-living crisis".For residents on low incomes who may need help paying the tax, the budget includes funding worth £22m a year for the Council Tax Reduction Scheme.The meeting at the civic centre in Carlisle approved a gross revenue budget of more than £800m, of which the net budget of £333m is paid for through council tax, business rates and government grants.According to a report presented to councillors, the main change for the 2025-26 financial year was the introduction of the second homes premium, which would see council tax double for second homes from 1 April.The Lib Dems and Green parties proposed amendments to the budget but they fell when put to a vote. Councillor Mike Johnson, the leader of the Conservative group, said the council was in debt to the tune of £244m, most of which was inherited from the former Cumbria County Council.He said: "If the budget is approved it will continue to increase."
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