Waverley Borough is expected to increase its share of council tax by 2.99 percent. 

A formal decision will be made in March but the council’s executive has recommended the rise as part its last ever budget before its merger into West Surrey.

The rise means all residents in Band D housing will pay more than £2,500 for the first time – regardless of whether they also have to pay money towards parishes.

Council tax is not straightforward in Surrey. The county council takes the largest share at 74 percent, followed by Surrey Police at 14 percent. Boroughs and Districts, which collect the tax on their behalves, account for about nine per cent of the bill. Towns and parishes can add further 3 percent to that.

This will simplify after the merger.

The rises this year (Surrey has already agreed to increase its share by 4.99 percent and the police by 4.4.percent) means the average Band D home in Waverley will get demands for at least £2,510 – before any additional charges from parishes, about a further £87, are included.

Speaking at the Tuesday, February 10, meeting of Waverley Borough Council’s executive committee was portfolio holder for finance, Cllr Mark Merryweather.

He said swirling inflation and the Government’s decision to cut funding to Waverley – as part of what it said was a fairer distribution of local authority money – meant the council had to get creative.

He told the meeting that had funding remained level, the council would only have had to increase tax by 0.5 percent on its core spending power.

He said: “It’s because of our prudent budgeting in prior years which anticipated some of this impact that we’ve been able to absorb that real terms cut. “

Inflation alone accounted to the need to find an additional £1.5 million as part of its overall £19.6 million needed to cover core spending but spending levels for services should remain broadly level.

The tax rise is expected to bring in about £13 million to the council with the rest coming from external sources – such as car parking charges, or interest it holds from  developer or resident Community Infrastructure Levy contributions.

Clrr Merryweather added: “The problem with money is that you can only spend it once. 

“If you are paying out a dividend by not increasing council tax, or reducing car parking, means you very quickly get to a point where you have exhausted your ammunition to actually deal with the stuff that needs to be dealt with.”

The benefits of council’s proposed raise, of just over £6 per year for Band D residents “more than outweighed the costs and the risks that we still face in the months ahead”.

Breakdown of your council tax bill:

Surrey County Council: will rise from £1,846.35 to  £1,938.42

Police and Crime Commissioner for Surrey: will rise from £338 to £352

Waverley Borough Council: will rise from £213.86 to £220.25