CITY of York Council is proposing a three per cent council tax rise as it seeks to make more than £7 million in savings to balance the books.

The council is facing unprecedented financial challenges due to the impact of the pandemic, in addition to the significant reduction in funding it has received from central government over the last decade.

Social care costs have risen and demand for the council’s services has grown, leaving the authority facing a budget gap of more than £9.1 million next year. 

The council tax rise is made up of an increase to the basic rate of 1.99 per cent, plus another one per cent for the social care precept.

The budget proposals would increase spending by £4.3 million in adult and children’s social care to try to ensure the city’s most vulnerable residents receive the support they need in their communities, rather than through overstretched NHS services.

But all council departments have been asked to make savings.

A proposed cut to the home to school transport budget could save £300,000, though support would remain for families on low incomes.

The council is proposing an increase in adult social care charges, which could generate more than £200,000.

Funding would also be reduced to residential and nursing care support packages and the supported living budget.

The council is also proposing to cut funding to Yorkcraft, which provides employment opportunities for people with disabilities, and to York Learning, which provides adult learning courses.

York also wants to try to boost its parking income by £235,000 through a variety of proposals – including adding 10p to the hourly rate, introducing a £1 charge to the Minster Badge permit in the evening, extending the residents’ priority parking scheme and introducing parking charges on some city centre roads.

Fees for trade and bulky waste could be increased and a new £180 waste charge to the owners of holiday lets could be introduced.

The budget also proposes investment in major regeneration projects in the city, such as the housing delivery programme and York Central.

There will also be initiatives to help residents and businesses with their physical, mental and financial wellbeing as the pandemic continues.

Residents have been asked to shape the budget through surveys and focus groups, and people are now being asked to have their say at a series of budget sessions next week.

The proposals will be presented to the council’s executive in February and then debated at full council later in the month.

Leader of the council Keith Aspden said: “This year we have published our budget proposals earlier to give residents, businesses and stakeholders more opportunity to share their views on the budget proposals.

“The impacts of the last two years of the pandemic, and the Government’s failure to provide what councils need to respond to the crisis, has meant that, as other councils across the country, we are left facing tough decisions."

“There are real pressures in meeting the demands of growing social care responsibilities and providing the support and services that our communities need now more than ever.”

Deputy leader Andy D’Agorne  said: “The council has worked tirelessly to provide critical support throughout the pandemic. Demand has increased, while income has fallen dramatically.

“We are continuing to manage the difficult financial challenges, investing to accelerate recovery and deliver important services to our local communities.”