Your council tax financial information
Leicester City Council financial information for 2021-2022.
Setting our budget for 2021-2022 has been challenging:
- At the time of setting the budget, the country was in lockdown due to the Covid 19 pandemic. We did not know what the final cost of the pandemic would be;
- The pandemic came after 10 years of Government cuts to our budgets. Our government grant in 2020 was over £100 million less than it was in 2010 on a like for like basis;
- We did not know how the Government would seek to balance the books when the pandemic ended; nor the implications for our government grant in 2022-2023;
- We did not know what the lasting effects of the pandemic would be, including the extent of economic hardship in the city.
The budget for 2021-2022 is a “stop gap” budget. It provides additional funding for social care, for public health and to mitigate hardship caused by the pandemic, but otherwise is essentially unchanged from the previous year. A more comprehensive review of the council’s finances will be carried out when there is more certainty.
The Council’s gross expenditure, and how this leads to the amount of Council Tax we require, is explained in the table below. Most of our gross expenditure is funded from other sources, and the net service expenditure is a better indication of how our spending has changed over time. Expenditure has increased since last year’s budget, because of additional funding for social care and temporary funding to respond to the pandemic.
|Budget and council tax||2020-21
|Less income, incl government grants||(540,044)||(576,791)|
|Service expenditure, excluding reserves and contingencies||282,821||303,436|
|Contingency/ other funds||2,000||2,000|
|Contribution to/(from) corporate reserves||(2,377)||(14,031)|
|Retained business rates and government grants||(157,102)||(168,219)|
|Collection fund (surplus)/deficit||(2,497)||
|Council tax requirement||122,845||
Council tax at Band D (Leicester City Council)
- Change: +5%
- 2020-2021: £1,614.23
- 2021-2022: £1,694.92
Council tax at Band D (Police and Crime Commissioner)
- Change: +6.4%
- 2020-2021: £233.23
- 2021-2022: £248.23
Council tax at Band D (Fire Authority)
- Change: +2%
- 2020-2021: £67.96
- 2021-2022: £69.29
Total council tax at Band D
- Change: 5.1%
- 2020-2021: £1,915.42
- 2021-2022: £2,012.44
For further information about the council tax breakdown, please see:
Police & Crime Commissioner for Leicestershire:
Leicestershire Fire and Rescue Service:
Environment Agency: Trent Regional Flood & Coastal Committee
The Environment Agency, which levies the City Council for flood defence purposes, has supplied the following information:
The Environment Agency is a levying body for its Flood and Coastal Erosion Risk Management Functions under the Flood and Water Management Act 2010 and the Environment Agency (Levies) (England and Wales) Regulations 2011.
The Environment Agency has powers in respect of flood and coastal erosion risk management for 2369 kilometres of main river and along tidal and sea defences in the area of the Trent Regional Flood and Coastal Committee. Money is spent on the construction of new flood defence schemes, the maintenance of the river system and existing flood defences together with the operation of a flood warning system and management of the risk of coastal erosion. The financial details are:
|Total council tax base||1,848||1,842|
The majority of funding for flood defence comes directly from the Department for the Environment, Food and Rural Affairs (Defra). However, under the new Partnership Funding rule not all schemes will attract full central funding. To provide local funding for local priorities and contributions for partnership funding the Regional Flood and Coastal Committees recommend through the Environment Agency a local levy.
A change in the gross budgeted expenditure between years reflects the programme of works for both capital and revenue needed by the Regional Flood and Coastal Committee to which you contribute. The total Local Levy raised by this committee has increased by 2.0%.
The total Local Levy raised has increased from £2,137,291 in 2020/2021 to £2,180,037 for 2021/2022.
The city council’s contribution to the levy is £88,510.
Statement concerning adult social care funding
We are required by regulations to include the following statement:
The Secretary of State made an offer to adult social care authorities. (“Adult social care authorities” are local authorities which have functions under Part 1 of the Care Act 2014, namely county councils in England, district councils for an area in England for which there is no county council, London borough councils, the Common Council of the City of London and the Council of the Isles of Scilly.)
The offer was the option of an adult social care authority being able to charge an additional “precept” on its council tax without holding a referendum, to assist the authority in meeting its expenditure on adult social care from the financial year 2016-17. It was originally made in respect of the financial years up to and including 2019-20. If the Secretary of State chooses to renew this offer in respect of a particular financial year, this is subject to the approval of the House of Commons.