Tory group defends low council tax policy

A new report on the municipality’s finances shows that it is on the brink of actual bankruptcy

Getty Images View of the River Thames with Eton and Eton College on the left bank and Windsor on the right. — A new report on the municipality’s finances shows that it is on the brink of actual bankruptcy

Former Conservative council leaders in Windsor and Maidenhead have defended their decision to cut council tax after warning it put the Royal Borough at risk of bankruptcy.

A new report on the municipality’s finances shows that this is in order on the verge of actual bankruptcy and must take urgent action.

It concluded that the reasons for this included decisions to cut council tax “significantly” since 2010.

But the Conservatives – who are now in opposition – said they were keeping council tax low “to support hard-working residents”.

They said they “maintained tighter financial controls” and “avoided budget deficits” while in charge.

They accused the council’s current Liberal Democrat-led coalition of failing to control spending and delaying action.

Conservative group leader Maureen Hunt said: “Under Liberal Democrat control, budget discipline has collapsed, and it is residents who will pay the price with tax rises.

“The Liberal Democrats have pursued a strategy of delaying and minimizing the development of taxpayer-owned land. This is costing the taxpayer tens of millions of pounds.”

The Conservatives – now in opposition – said they were keeping council tax low ‘to support hardworking residents’

Getty Images Multiple folders in a bookcase with many pieces of paper in each folder. — The Conservatives – now in opposition – said they were keeping council tax low ‘to support hardworking residents’

She said her group had “clear plans” to reduce the council’s debt based on money received from property development.

One of the most important is a deal to sell it Maidenhead Golf Course to developer Cala Homes for a development of 1,500 homes, which could raise £105.3m.

But the recent report from CIPFA, a public sector accounting group, says the council is unlikely to receive £78.8 million of this before 2030.

It criticizes previous tax cuts by the council, as well as evidence of accounting errors by senior Conservative-led staff.

The Conservatives said the accounting errors “must be fully investigated”.

The CIPFA report said: “Decisions dating back to 2010 to significantly reduce council tax year on year for a period of six years – and then freeze it for a further two years – reducing the council’s baseline by around £30m than if the municipal tax had been paid. The increases kept pace with average increases across the country.”

The Royal Borough Cabinet will discuss it the report on Wednesday.