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Two thirds take freeze funding

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Almost two thirds of councils are set to receive funding in return for freezing council tax, according to the latest tally from the Department for Communities & Local Government.

The department’s official figures show that 211 authorities are freezing council tax while another 19 are cutting council tax - both groups will be eligible for the funding which is equivalent to a 1% increase in council tax.

With the deadline for setting council tax on Monday, it appears around a third of councils will increase council tax confirming LGC predictions made last year that at least a quarter would do so.

Although councils have been offered a funding incentive, many have argued they will be worse off when the short-term funding offer comes to an end resulting in the need for further budget savings.

It is the third year freeze funding has been made available to councils, although the amount of money on offer has decreased each year. The first year saw 100% take up the offer, last year 90% did so, but the number of councils rejecting the incentive has more than doubled this time.

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