Boston Borough Council sets balanced budget that supports communities and economic growth

Boston Borough Council has set its balanced budget for the next year, prioritising ways to support residents, to grow the local economy and deliver the Town Centre Action Plan.

The setting of the budget has been one of the most challenging. This is due to unprecedented changes in funding from Central Government, the impact of the special levy to support the vital work of Internal Drainage Boards and continued changes in resident, customer, and business needs.

Despite these challenges, the Council is delivering its town centre strategy to create a vibrant Borough for residents and businesses and to encourage visitor numbers to grow. 

The Capital Programme funded mainly through grants will see £48m spent over the next five years to enhance the town, improve the High Street and work with partners to drive growth and employment, all hugely positive for the Borough. 

From April 2025, Boston Borough Council will be one of few local authorities that will increase full support to low or no-income families and households through the Council Tax Support Scheme. The support allowance will rise from 75 per cent to 100 per cent for households with children and to 85 per cent for other households. By increasing this scheme, the Council is helping more households struggling to pay their annual council tax.

Also from April, the Council is reintroducing the Councillor Grant Scheme to support good causes and projects in every community. Each councillor will have £1,000 to award to worthy schemes in their wards.

At Full Council on Monday 3 March, Councillors approved a Council Tax rise of £7.56 for a Band D property which equates to £223.65 per year. This represents an increase of 15p per week to deliver council services such as refuse collection, planning, environmental health, licensing and much more.

The vast majority of properties in Boston are band A, B, and C so will see increases lower than this. 

Lincolnshire County Council, the Police and Crime Commissioner for Lincolnshire and parish councils also set their own council tax rates which form part of the annual bill.

A significant element of the budget is the Internal Drainage Board Levy, which the Council is required to pay. The levy is mainly paid from funds collected through Council Tax, money which could be invested in services.

This year, the special levy has increased to £2.9m in Boston Borough, an increase of £102,000 from 2024/25. Since 2021/22 the levy has increased by £913,000 - representing a 45 per cent increase.

Boston Borough Council is a founding member of the Special Interest Group of 40 councils working together to lobby Government for a fairer funding mechanism that takes the special levy out of the council tax requirement. As a result of that lobbying, the Government has increased the funding allocated from £3m to £5m to councils impacted by the levy. The council is waiting to find out its allocation.

Cllr Sandeep Ghosh, Portfolio Holder for Finance, at Boston Borough Council, said: "Despite the challenges of the past few years, we continue to work to develop new opportunities for our residents, deliver services in different ways to be as efficient as possible well as find ways to develop new income to support the Council's revenue budget.

"Representations to government continues to be made on Internal Drainage Board Special Levies due to the substantial loss of income to the Council and the impact this has on services.   

"Another key part of the Council budget is its share of business rates income which has seen changes following the Financial Settlement in December. The Council has also been impacted by inflationary pressures across all areas of the council's budget, particularly pay, contracts, utilities, and fuel.

"Budgets for the coming years are forecast to be even more challenging. That is why it is important for us as a Council to continue making efficiencies where we can, reduce running costs and help deliver services more efficiently. Increasing capital investment will also help generate new income for the council to provide services."

 Key priorities for the Cabinet next year include promoting projects which aim to drive efficiencies and placing residents and communities at the centre of everything the council do.

Some of these key projects to be developed during 2025/26 include:

• Delivering the Boston Town Centre Strategy and Action Plan
• Investment in infrastructure and facilities through government funding
• Investing in our town and borough working with partners
• Empowering communities in the way services are provided
• Addressing deprivation
• Tackling Climate Change through Green initiatives.