Leeds Council announces plans for 914 job losses as council tax set to rise 1.99%

The authority says the cuts are due to the pressures of Covid and a failure of central government to provide enough cash to pay for adult social care in the city.

A 1.99 per cent increase in core council tax has been proposed for the 2021/2022 financial year.

The proposals will be presented to the Leeds City Council’s executive board next week.

The board will also hear discussions about the adult social care precept of three per cent.

The adult social care precept gives councils the power to increase tax by an additional 3 per cent to pay for social care.

This would be on top of any rise in council tax.

Proposals to "realign services" will also be heard, which the council says would result in job losses of 97.5 full-time posts.

Combined with savings proposals already put forward by the executive board in September, October and November, there could be total job losses of 914 full time posts.

The council has also submitted an application on behalf of Bradford, Calderdale, Harrogate, Kirklees, Leeds, Wakefield and York to form a business rates pool with its fellow Yorkshire authorities.

This means business rates resources will be retained within the region rather than handing them back to central government.

The Spending Review 2020 announced a “pay pause” for all public sector workers with the exception of those earning below £24,000 who are to receive a minimum £250 increase.

The council says it has 'therefore budgeted accordingly' so council staff won't see pay increases next year.

A decision on the plans will be made in February 2021.

The proposals are part of efforts to deal with a £119million deficit in the council budget.

Leader of Leeds City Council Councillor Judith Blake said: “As a council over the last ten years we have consistently balanced our budget through prudent financial management. However the recent government spending review failed to provide sufficient funding for adult social care or to fully close the gap caused by pressures associated with COVID-19.

“Like many other local authorities this leaves the council no option but to look for further savings. We will also continue to engage with the Government to try and obtain further funding to help reduce the impact of budget pressures on services.

“We have already seen a number of valued colleagues leave the council and that impact will continue to be felt as more leave over the coming year. These are incredibly difficult times for Leeds City Council and none of these recommendations have been made lightly.

“Our staff are showing outstanding commitment, hard work and dedication during these unprecedented times. I would like to thank each and every one of them again for their efforts. They can be assured we will do everything possible to avoid compulsory redundancies.”

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