Proposed town budget sees possible 3.5% increase in precept

The proposed town council budget for the next financial year sets out a rise of just over £27,000 in the local precept, resulting in an increase on your council tax bill.

Town councillors are being asked to accept a recommendation to set the precept for next year at £809,708, an increase of 3.5% on the previous year.

Newtown & Llanllwchaiarn Town Council are holding a special meeting next Tuesday (10th January 2023) to discuss the budget and precept for the upcoming year.

The £27,381 rise in precept equates to a council tax increase for a Band D household of £2.42 per year.

This recommendation is much higher than the third draft budget, considered by councillors in December which only had a rise in precept of just under £8,000. It appears that the rise is neccessary to ensure that general reserves are kept at approximately £195,000 to comply with the town council's Reserves Strategy.

Proposed changes in terms of yearly charge per band per household

The budget as presented includes a movement from financial reserves of £104,454 to plug a funding gap between income and expenditure along with an additional £14,000 in other income, resulting in a total expenditure budget of £928,162.

The full council is likely to approve the rise at a special meeting next Tuesday.